You work for Pitloa Inc., which is considering a new project whose data are shown below. What is the project's Year 1 cash flow?
|
Sales Revenues
|
$62,500
|
|
Depreciation
|
$8,000
|
|
Other operating costs
|
$25,000
|
|
Interest Expense
|
$8,000
|
|
Tax rate
|
35.0%
|
a. $25,816
b. $27,175
c. $28,534
d. $29,960
e. $31,458