Question: Barnie's Luxury Pets is considering a new store requiring $24,000 in networking capital and $225,000 in capital expenditures. The new location is expected to produce annual sales of $125,000 with related expenses totaling $67,000. The store has a 10-year life and will be depreciated straight-line to zero book value over the life of the project. The market value is forecasted to be $20,000. The relevant tax rate is 35 percent. What is the operating cash flow for this project? What is the IRR?