The Rogers Corporation has a gross profit of $760,000 and $306,000 in depreciation expense. The Evans Corporation also has $760,000 in gross profit, with $42,000 in depreciation expense. Selling and administrative expense is $230,000 for each company. Required:a. Given that the tax rate is 40 percent, compute the cash flow for both companies. b. Calculate the difference in cash flow between the two firms.

answertrue;

when consumers have more money to pay for a product, the most likely situation to occur from the possible options on the list is (2) an increase in price for computer and computer accessories will happen.

companies tend to price products according to production costs, but they also take into account how much money would a consumer in certain segments be willing to pay for their product. if they have more money, the products would definitely be priced higher.