Mercy Hospital is considering a project that is expected to reduce the hospitals annual operating costs by $250,000 per year beginning in year 1. In addition, the project is expected to generate $400,000 in revenue per year beginning in year 1. All else held constant, what is the projects expected net cash flow in year 1?

		$150,000
		$250,000
		$400,000
		$650,000
		-$250,000