Ronnie's Coffee House Is Considering a Project That Will Produce

Ronnie's Coffee House is considering a project that will produce sales of $7,000 and increase cash expenses by $2,500.If the project is implemented,taxes will increase by $1,400.The additional depreciation expense will be $1,000.An initial cash outlay of $3,000 is required for net working capital.What is the amount of the operating cash flow using the top-down approach?

A) $200
B) $1,500
C) $2,200
D) $3,100
E) $4,200