Rock Haven has a proposed project that will generate sales of $1,740$ units annually at a selling price of $$24$ each. The fixed costs are $$13,900$ and the variable costs per unit are $$6\mathrm{.}75.$ The project requires $$29,200$ of fixed assets that will be depreciated on a straight$-$line basis to a zero book value over the $4-$year life of the project. The salvage value of the fixed assets is $$7,300$ and the tax rate is $23$ percent. What is the operating cash flow?

Answers:

$19125$

$10730$

$14088$

$16102$

$5385$