Eskom, Inc. has 4-year project in South Africa with an annual operating cash flow of $53,500. Eskom spent $22,800 on an Electricity Supply Solar Tower to start the project. At the end of the project, the Electricity Supply Solar Tower will have a book value of $4,820, but can be salvaged for $5,790. If Eskoms tax rate is 35%, what is the cash flow in Year 4? Note: Net working capital of $4,450 was needed at the start of the project. That money will be recovered at the end of the project.

Multiple Choice

• $54,501

• $61,714

• $64,080

• $20,633

• $63,401