Lendrum Inc. is considering a new project whose data are shown below. The equipment has an economic life of 3 years, and is in CCA class 10 (20%). The half-year rule applies. Revenues and cash operating costs are expected to be constant over the projects 3-year life. What is the net operating cash flow for Year 1?

	Equipment cost	$80,000
	Annual sales revenues	$60,000
	Annual cash operating costs	$35,000
	Tax rate	35.0%

a)25,275

b)17,000

c)19,050

d)30,359