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Production and Capital Cost Estimation 31
Income from
Stock Dividends .Licenses and
! t Services for
Outside Firms
Borrowed Capital Firm's Bank Investments
New Projects
f
Equlpme
Production Plant Im
Costs Plant E>
\ r
u.
£.
w Existing ^
ID Sales —— >• Working Capital
Operations
Total Income
Depreciation
Depletion
Nef .Income
Profit
i 1
^ : — . —————————————— . Income Tax
Figure 2.1 Cash flow in a corporation. Source: adapted from Ref. 2.
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