Your Local Athletic Center Is Planning a $1

Your local athletic center is planning a $1.2 million expansion to its current facility.This cost will be depreciated on a straight-line basis over a 20-year period.The expanded area is expected to generate $745,000in additional annual sales.Variable costs are 39* percent of sales, the annual fixed costs are $140,000, and the tax rate is 21percent.What is the operating cash flow for the first year of this project?

A) $218,336.00
B) $201,015.00
C) $261,015.50
D) $371,615.50
E) $314,450.00