= Homework: Cha... Question 2, Problem 11-... HW Score: 72.73%, 8 of 11 points Save Points: 0 of 1 La (Calculating free cash Hows) Spartan Stores is expanding operations with the introduction of a new distribution center. Not only will sales increase but investment in Inventory will decline due to increased efficiencies in getting inventory to showrooms. As a result of this new distribution center, Spartan expects a change in EBIT of $940.000. Although inventory is expected to drop from $85,000 to $62,000, accounts receivables are expected to climb as a result of increased credit sales from Af $80,000 to $100,000. In addition, accounts payable are expected to increase from $67,000 to $88,000 This project will also produce $400.000 of bonus depreciation in year 1 and Spartan Storen is in the 34 porcent marginal tax rate What is the project's free cash flow in year 12 TE The project's free cash flow in year 1 ks (Round to the nearest dollar)