1. Colsen Communications is trying to estimate the cash flows for year 1 of a certain project. The finance department collected the following information: Total sales $ 15 million Operating expenses (without depreciation) $ 10.5 million Depreciation $ 3 million Interest expense $ 3 million The tax rate is 40% and the company's WACC is 11% a) What is the total cash flow for the first year of the project? b) If this project cannibalizes other projects of the company for $ 900 thousand each year, what would be the answer to part a)? c) Without considering part b), if the tax rate were 30%, what would be the answer to part a)?