Use the following information to answer questions 11-13 and 11-14.

Equipment costs $75,000

Installation costs $ 5,000

Depreciation expense $16,000 in year one

Tax rate 40%

Change in operating revenues $20,000/year for five years

Sold in year six $ 4,640

MACRS 3-year class depreciation

Calculate the shut-down cash flow in year six:

a.) 6,496

b.) 4,640

c.) 2,784

d.) 1,856