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the following information on the project: Sales revenues $ 1 0 million Operating costs 9 million Interest expense 3 million The company has a 2

the following information on the project:
Sales revenues $10 million
Operating costs 9 million
Interest expense 3 million
The company has a 25% tax rate, and its WACC is 14%.
Write out your answers completely. For example, 13 million should be entered as 13,000,000.
a. What is the project's operating cash flow for the first year (t=1)? Round your answer to the nearest dollar.
$
b. If this project would cannibalize other projects by $0.5 million of cash flow before taxes per year, how would this change your answer to part a? Round your answer to the nearest dollar.
The firm's OCF would now be $
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