Question: a firm is evaluating a project that will increase sales by $84,000 and costs by $45,000. The project will initially cost $74,000 for fixed assets

a firm is evaluating a project that will increase sales by $84,000 and costs by $45,000. The project will initially cost $74,000 for fixed assets that will be depreciated straight-line to a book value of zero over the 7-year life of the project The applicable rate is 23 percent. What is the project's annual operating cash flow (OCF)?

A) $32,461.43

B) $11,401.43

C)$38,170.00

D)$41,431.43

E)$21,890.00

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