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{ou are considering opening another restaurant in the food chain of Raising Cane's. The new 'estaurant will have annual revenue of $1,100,000 and operating expenses

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{ou are considering opening another restaurant in the food chain of Raising Cane's. The new 'estaurant will have annual revenue of $1,100,000 and operating expenses of $600,000. The annual depreciation and amortization for the assets used in the restaurant will equal $70,000. An annual capital expenditure of $20,000 will be required to offset wear-and-tear 3n the assets used in the restaurant, but no additions to working capital will be required. the marginal tax rate will be 40 percent. Calculate the incremental annual free cash flow for :he project

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