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The Wet Corp. has an investment project that will reduce expenses by $25,000 per year for 3 years. The project's cost is $25,000. If the
The Wet Corp. has an investment project that will reduce expenses by $25,000 per year for 3 years. The project's cost is $25,000. If the asset is part of the 3-year MACRS category (33.33% first year depreciation) and the company's tax rate is 35%, what is the cash flow from the project in year 1? (Do not round intermediate calculations. Round your answer to the nearest dollar amount.)
A. $20,626
B. $18,616
C. $19,166
D. $19,946
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