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Problem 8-17 Calculating Nominal Cash Flovw Price, Inc., is considering an investment of $377,000 in an asset with an economic life of 5 years. The

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Problem 8-17 Calculating Nominal Cash Flovw Price, Inc., is considering an investment of $377,000 in an asset with an economic life of 5 years. The firm estimates that the nominal annual cash revenues and expenses at the end of the first year will be $257,000 and $82,000, respectively. Both revenues and expenses will grow thereafter at the annual inflation rate of 3 percent. Price will use the straight-line method to depreciate its asset to zero over five years. The salvage value of the asset is estimated to be $57,000 in nominal terms at that time. The one-time net working capital investment of $16,000 is required immediately and will be recovered at the end of the project. All corporate cash flows are subject to a 34 percent tax rate. What is the project's total nominal cash flow from assets for each year? (Do not round intermediate calculations. Negative amounts should be indicated by a minus sign.) Cash flow Year O Year 1 Year 2 Year 3 Year 4 Year 5

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