Lightweight Industries Is Considering Purchasing a New Forklift That,if Adopted,is

Lightweight Industries is considering purchasing a new forklift that,if adopted,is expected to yield an EBDIT of $23,000 per year for the next five years.The forklift will cost the company $100,000 and is expected to be depreciated for tax and accounting purposes on a straight- line basis over a five- year life.The company tax rate is 30% per annum.The company's cost of capital is 12.5% p.a.How much is the cash flow per annum generated by this project in years one through five?

A) $21,350.00
B) $16,100.00
C) $20,088.00
D) $22,100.00