Burke's Corner currently sells blue jeans and T-shirts. Management is considering adding fleece tops to its inventory to provide a cooler weather option. The tops would sell for $47 each with expected sales of 4,600 tops annually. By adding the fleece tops, management feels the firm will sell an additional 315 pairs of jeans at $59 a pair and 450 fewer T-shirts at $20 each. The variable cost per unit is $30 on the jeans, $10 on the T-shirts, and $25 on the fleece tops. With the new item, the depreciation expense is $27,000 a year and the fixed costs are $79,000 annually. The tax rate is 35 percent. What is the project's operating cash flow?

Multiple Choice

$32,743

$26,893

$15,017

$20,867

$18,842