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XU Co. is evaluating a project which will increase sales by $50,000 and costs by $30,000. The project will cost $150,000 and will be depreciated

XU Co. is evaluating a project which will increase sales by $50,000 and costs by $30,000. The project will cost $150,000 and will be depreciated straight-line to a book value of 10,000 over the 10-year life of the project. The applicable tax rate is 21%. What is the operating cash flow for this project?

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$5,000 $8,300 $18,740 $3,300 $17,960

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