Marie's Fashions Is Considering a Project That Will Require $28,000

Marie's Fashions is considering a project that will require $28,000 in net working capital and $87,000 in fixed assets. The project is expected to produce annual sales of $75,000 with associated costs of $57,000. The project has a 5-year life. The company uses straight-line depreciation to a zero book value over the life of the project. The tax rate is 30 percent. What is the operating cash flow for this project?

A) -$1,520
B) -$580
C) $420
D) $15,680
E) $17,820