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Summer Tyme, Inc., is considering a new 2-year expansion project that requires an initial fixed asset investment of $6.372 million. The fixed asset will be

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Summer Tyme, Inc., is considering a new 2-year expansion project that requires an initial fixed asset investment of $6.372 million. The fixed asset will be depreciated straight-line to zero over its 2-year tax life, after which time it will be worthless. The project is estimated to generate $5,664,000 in annual sales with costs of $2,265,600. Required: If the tax rate is 31 percent, what is the OCF for this project? O $3,398,400 $146,556 O $3,332,556 $3,165,928 O $3,499,184

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