A Firm is considering the Introduction of a Product. The Firm's Marginal Tax Rate is $40\%.$

The Expected Life of the Project is $3$ Years.

The Project requires an Initial Increase in Net Operating Working Capital of $$2,000.$

The Project requires an Investment in Equipment. The Cost of the Equipment is $$30,000$ and there is an Additional Charge of $$15,000$ for Shipping and Installation. The Equipment Falls into the $3-$Year MACRS Depreciation Class and the Expected Salvage Value at the End of the Project is $$8,000.$

The Firm has already spend $$1,500$ on a Marketing Analysis that shows an Increase in Revenues from the Project of $$18,000$ in Year $1,$$$22,000$ in Year $2$ and $$30,000$ in Year $3.$ The Project will also lead to a reduction in operating costs of $$12,000$ in Year $1,$$$15,000$ in Year $2$ and $$14,000$ in Year $3.$

$3-$Year MACRS Depreciation Rates: Year $1$: $33\%,$ Year $2$: $45\%,$ Year $3$: $15\%,$ Year $4$: $7\%$

What is the Cash Flow at Year $0?$

$-$$$47,000$

$-$$$45,000$

$-$$$46,500$