2. A project has projected sales of $124.000, costs of $96,000, depreciation expense of $12,000, and a tax rate of 34 percent. Calculate the operating cash flow using the four different approaches. What is the depreciation tax shield? Table: Modified ACRS depreciation allowances (MACRS) Class Three-year Five-year Seven-year Examples Equipment used in research Autos, computers Most industrial equipment Property class Three-year 33.33% 44.45 14.81 7.41 Five-year 20.00% 32.00 19.20 11.52 11.52 5.76 Seven-year 14.29% 24.49 17.49 12.49 8.93 8.92 8.93 4.46 2. A project has projected sales of $124.000, costs of $96,000, depreciation expense of $12,000, and a tax rate of 34 percent. Calculate the operating cash flow using the four different approaches. What is the depreciation tax shield? Table: Modified ACRS depreciation allowances (MACRS) Class Three-year Five-year Seven-year Examples Equipment used in research Autos, computers Most industrial equipment Property class Three-year 33.33% 44.45 14.81 7.41 Five-year 20.00% 32.00 19.20 11.52 11.52 5.76 Seven-year 14.29% 24.49 17.49 12.49 8.93 8.92 8.93 4.46