Suppose you are the only owner of a chain of coffee shops near universities. Your current cafs are doing well, but you are interested in starting a fine-dining restaurant. You decide to use the cash generated from your existing business to enter into a new business. Your accountant provides you with the following data on your current financial performance: Financial update as of June 15 . Your existing business generates $135,000 in EBIT. The corporate tax rate applicable to your business is 35%. . The depreciation expense reported in the financial statements is $25,714. You don't need to spend any money for new equipment in your existing cafs; however, you do need $20,250 of additional cash. You also need to purchase $10,800 in additional supplies-such as cloth tablecloths and napkins, and more formal tableware-on credit. It is also estimated that your accruals, including taxes and wages payable, will increase by $6,750. Based on your evaluation you have in free cash flow