Use the Information for the Question(s) Below -The Depreciation Tax Shield for Shepard Industries Project in Year

Use the information for the question(s) below.
Shepard Industries is evaluating a proposal to expand its current distribution facilities. Management has projected the project will produce the following cash flows for the first two years (in millions) .
$\begin{array} { l c c } \hline \text { Year } & \mathbf { 1 } & \mathbf { 2 } \\\hline \text { Revenues } & 1200 & 1400 \\\hline \text { Operating expense } & 450 & 525 \\\hline \text { Depreciation } & 240 & 280 \\\hline \text { Increase in working capital } & 60 & 70 \\\hline \text { Capital expenditures } & 300 & 350 \\\hline \text { Marginal corporate tax rate } & 30 \% & 30 \% \\\hline\end{array}$
-The depreciation tax shield for Shepard Industries project in year 2 is closest to:

A) $96
B) $84
C) $196
D) $72