A firm is considering a project with the following information:

Project will require purchase of a machine for $104,633.00 that is MACRS depreciable over a five-year schedule. (no depreciation until end of year 1).

11.7 Project will require immediate non-depreciable expenses of $27,233.00 TODAY (year 0).

Project will have the following projected balance sheet values of NWC:

YEAR	0	1	2
NWC Level	$4,000	8.00% of sales	8.00% of sales

Sales for the project will be $53,892.00 per year, with all other expenses (excluding depreciation) at 40.00% of sales.

The tax rate for the firm is 35.00%, while the cost of capital is 12.00%

*assume project goes beyond two years

What is the project cash flow for year 0?