17) Use the data below to answer the question that follows. Corporate Tax Rate 3019 Year Revenues $330,000 $340,000 $380,000 Cest of Good Bold $110,000 $150,000 $180,000 Selingard Admin. Expenses $50,000 $130,000 $140,000 Capital Cost Allowance $11,000 $12,000 $13,000 Accounts Receivable $40,000 $43,000 $47,000 Inventory $25,000 $38,000 $39,000 Accounts Payable $15,000 $18,000 $19.000 Gross Fixed Assets $100,000 $120,000 $ $130,000 The cost of goods sold now excludes any depreciation of capital cost allowance What is the free cash flow generated for year 2? a) $22,300 b) $22.450 c) $22.600 d) $27.250 e) $31.900 18) You are considering investing in a piece of equipment to implement a cost-calung proposal The pre-tax cost reduction is expected to equal $4167 for each of the duree years on the project's life. The equipment has an initial cost of S125 and belongs 20% CCA class Assume a 3-4% tax incket, a discount rate of 15%, and a salvage value of $10. What is the Present value of all the CCA tax shields a) 87.65 D) $14.17 c) $21.42 d) $22.70