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Below are estimates of the annual expected cash flows associated with a proposed project that RunningFast Inc. is evaluating. The project requires an initial investment

Below are estimates of the annual expected cash flows associated with a proposed project that RunningFast Inc. is evaluating. The project requires an initial investment of $300,000 in fixed assets. Expected Net Sales Revenue $200,000 Expected Operating Expenses $100,000 Depreciation Expense on required investment in fixed assets $10,000 Expected Interest on funds borrowed to purchase required fixed assets $5,000 Expected Marginal Income Tax Rate 20% Project Duration 5 years What amount of annual operating cash flow is this project expected to produce?

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