Coulter Company is studying a capital project that will produce $600,000 of added sales revenue, $400,000 of additional cash operating expenses, and $50,000 of depreciation. Assuming a 30% income tax rate, the company's after-tax cash inflow (outflow) is:

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The after-tax cash inflow is calculated as follows: Net income before tax = $600,000 (sales) - $400,000 (expenses) - $50,000 (depreciation) = $150,000. Tax = $150,000 * 30% = $45,000. Net income after tax = $150,000 - $45,000 = $105,000. Add back non-cash depreciation: $105,000 + $50,000 = $155,000.

Coulter Company Is Studying a Capital Project That Will Produce