Question: Chiefland Campers is evaluating a project that will not affect revenues, but it will save the firm $110,000 per year in before-tax operating costs, excluding

Chiefland Campers is evaluating a project that will not affect revenues, but it will save the firm $110,000 per year in before-tax operating costs, excluding depreciation. The projects deprecia- ble basis is $840,000, and it will be depreciated on a straight-line basis to a book value equal to zero ($0) over its 10-year life. If the firms mar- ginal tax rate is 34 percent, what are the annual supplemental operating cash flows?

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