years. The asset will generate sales first year of $1,000 and sales is Your company is considering a asset that will cost $2,000 and will be depreciated using S/L depreciation to zero over the next expected to grow at 4% annually. The asset will be operated for the full 4 years. Cost of goods sold is estimated at 40% of sales and fixed costs are not expected to change increase. Assuming a tax rate of 40%. 2) 2nd year Net Income O 74,40 69.20 93.21 81.60 72.12