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You are considering opening another restaurant in the Texas Burgers chain. The new restaurant will have annual revenue of $300,000 and operating expenses of $150,000.

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You are considering opening another restaurant in the Texas Burgers chain. The new restaurant will have annual revenue of $300,000 and operating expenses of $150,000. The annual depreciation and amortization for the assets used in the restaurant will equal $50,000. An annual capital expenditure of $10,000 will be required to offset wear-and-tear on the assets used in the restaurant, but no additions to working capital will be required. The marginal tax rate will be 21% percent. Calculate the incremental annual free cash flow for the project

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