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You are evaluating a project for The Farstroke goif club, guaranteed to correct that nasty slice. You estimate the sales price of The Farstroke to

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You are evaluating a project for The Farstroke goif club, guaranteed to correct that nasty slice. You estimate the sales price of The Farstroke to be $440 per unit ard sales volume to be 1,000 units in year 1,1,500 units in year 2 ; and 1,325 units in year 3 , The project has a 3-year-life. Variable costs amount to $245 per unit and fixed costs are $100,000 per year, The project requires an initial investment of $177.000 in assets, which will be depreciated straight-line to zero over the threatyear project life. The actual market value of these assets at the end of year 3 is explected to be $39,000. NWC requirements at the beginning of each year will bed approximately 25 percent of the projected sales during the coming year. The, tax rate is 21 percent and the required return on the project is 11 percent. What is the operating cesh flow for the project in year 2 ? (Enter your answer as a whole number.)

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