Madison Manufacturing is considering a new product launch.The equipment will cost $720,000, have a four-year life, and have a salvage value of zero.The equipment falls into the 3-year MACRS tax life, with depreciation rates of 33.33%, 44.45%, 14.81%, and 7.41%. Sales are projected at 190 units per year, price per unit will be $21,000, and costs (excluding depreciation) are estimated as follows: variable costs per unit will be $15,000, and fixed costs will be $225,000.The firm's marginal tax rate is 25 percent and it uses a 15 percent risk-adjusted discount rate to evaluate projects of this type.Based on your experience you think that unit price and variable costs per unit are probably accurate to within

10 percent. What is the worst-case scenario for thefirst yearoperating cash flow?

Group of answer choices

$216,369

$199,044

$233,244

None of the provided answers is correct.

$182,169