Question: Your company, RMU Inc., is considering a new project whose data are shown below. Under the new tax law, the equipment used in the project

Your company, RMU Inc., is considering a new project whose data

Your company, RMU Inc., is considering a new project whose data are shown below. Under the new tax law, the equipment used in the project is eligible for 100% bonus depreciation, so it will be fully depreciated at t - 0. What is the project's Year 1 cash flow? Sales revenues $26,750 Operating costs $13,511 Tax rate 25.0% $2,350 O $12,782 $1,063 $9,929 $4,345

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