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A company is considering a new project with the following Year 1 information: Incremental revenues $16,037 Depreciation for tax purposes $1,500 Other incremental operating costs

A company is considering a new project with the following Year 1 information:

Incremental revenues

$16,037

Depreciation for tax purposes

$1,500

Other incremental operating costs

$8,271

Marginal tax rate

21%

What is the projects free cash flow in the first year of operations?

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