A Project Will Increase Sales by $140,000 and Cash Expenses

A project will increase sales by $140,000 and cash expenses by $95,000. The project will cost $100,000 and be depreciated using the straight-line method to a zero book value over the 4-year life of the project. The company has a marginal tax rate of 34%. What is the value of the depreciation tax shield?

A) $8,500
B) $17,000
C) $22,500
D) $25,000
E) $37,750