Pinoy Software is considering a new project whose data are shown below. The equipment that would be used has a 3-year tax life, and uses straight-line

depreciation. Revenues and other operating costs are expected to be constant over the project's 10-year expected life. What is the Year 1 cash flow?

Equipment cost (depreciable basis)

Php 65,000

Sales revenues, each year

Php 60,000

Operating costs (excl. depreciation)

Php 25,000

Tax rate

35.0%