Forman Industries is considering an expansion project. The cost of the new equipment including all shipping and installation costs would be $10 million, and the expansion would require an additional $3 million investment in net operating working capital. The project is eligible for 100% bonus depreciation, so the new equipment will be fully depreciated at t = 0. The company spent and expensed for tax purposes $1 million on basic research during the last year. The companys tax rate equals 20%. What should the time 0 net cash flow equal in the analysis of the expansion project?

8 million

13 million

10 million

7 million

11 million