Katie's Cafe is considering the addition of a new refrigeration system that will cut annual food costs by $15,000. The system will cost $36,000 to purchase and install. This system is expected to have a 3-year life and will be depreciated to zero using straight-line depreciation. What is the annual net income for this project if the tax rate is 34%? O a. $880 O b. $1,020 O c. $1,240 O d. $1,750 O e. $1,980

Katie's Cafe is considering the addition of a new refrigeration system that will cut annual food costs by $15,000. The system will cost $36,000 to purchase and install. This system is expected to have a 3-year life and will be depreciated to zero using straight-line depreciation. What is the annual net income for this project if the tax rate is 34% ? a. $880 b. $1,020 c. $1,240 d. $1,750 e. $1,980