Question 14 ABC Corp. is evaluating a project to develop new printers. The project require capital expenditure of $100,000 today (Year O). The projected financials in Year 1 are as follows: Incremental sales for the project will be $60,000. incremental cost of goods sold will be $16,000. total SG&A expense will be $6,000, but $2,000 of this amount is overhead that will be incurred even if the project is not accepted. . the annual depreciation for the equipment required by the project will be $25,000 the level of net working capital (NWO) in Year 0 - $10,000 Year 1 NWC level = $22,000, Year 2 NWC level = $32,000 Your estimate of Year 1 free cash flow is: OA $13,500 . $22,100 C $23,500 OD $25,000