Clemson Software is considering a new project whose data are shown below.The required equipment has a 3-year tax life,after which it will be worthless.Under the new tax law,the equipment is eligible for 100% bonus depreciation,so it will be fully depreciated at t = 0.Revenues and operating costs are expected to be constant over the project's 3-year life.What is the project's Year 1 cash flow? Do not round the intermediate calculations and round the final answer to the nearest whole number.
A) $33,040
B) $32,008
C) $29,598
D) $28,222
E) $26,250

Question

Clemson Software is considering a new project whose data are shown below.The required equipment has a 3-year tax life,after which it will be worthless.Under the new tax law,the equipment is eligible for 100% bonus depreciation,so it will be fully depreciated at t = 0.Revenues and operating costs are expected to be constant over the project's 3-year life.What is the project's Year 1 cash flow? Do not round the intermediate calculations and round the final answer to the nearest whole number. 
A) $33,040 
B) $32,008 
C) $29,598 
D) $28,222 
E) $26,250

Quizplus · Accepted Answer

The Answer of Clemson Software is considering a new project whose data are shown below.The required equipment has a 3-year tax life,after which it will be worthless.Under the new tax law,the equipment is eligible for 100% bonus depreciation,so it will be fully depreciated at t = 0.Revenues and operating costs are expected to be constant over the project's 3-year life.What is the project's Year 1 cash flow? Do not round the intermediate calculations and round the final answer to the nearest whole number. 
A) $33,040 
B) $32,008 
C) $29,598 
D) $28,222 
E) $26,250

Clemson Software Is Considering a New Project Whose Data Are