A company is considering a new four-year project with an initial equipment investment of $72,001. The equipment belongs in a 30% CCA class and will be worthless at the end of the project. Annual cash sales are estimated at $136,800 with annual cash costs of $87,901. The tax rate is 34%. What is the project cash flow in the second year?

Question 16 options:

A)$30,900

B)$28,506

C)$38,516

D)$20,394

E)$41,406