Clemson Software is considering a new project whose data are shown below. The required equipment has a 3-year tax life, after which it will be worthless, and it will be depreciated by the straight-line method over 3 years. Revenues and other operating costs are expected to be constant over the project's 3-year life. What is the project's Year 1 cash flow? Do not round the intermediate calculations and round the final answer to the nearest whole number.

Equipment cost (depreciable basis)

$100,000

Straight-line depreciation rate

33.333%

Sales revenues, each year

$60,000

Operating costs (excl. depr.)

$25,000

Tax rate

35.0%