You are working on a bid to build four cabins a year for the next three years for a local campground This project requires the purchase of $66,000 of equipment which will be depreciated using straight- line depreciation to a zero book value over the three years. The equipment can be sold at the end of the project for $40,000. You will also need $16,000 in net working capital over the life of the project The fixed costs will be $18,000 a year and the variable costs will be $88,000 per cabin. Your required rate of return is 14 percent for this project and your tax rate is 38 percent. What is the minimal amount, rounded to the nearest $100 that you should bid per cabin? 1. What is the annual depreciation tax shield? $8,360 b. $7,480 $22,440 d. $22,000 $7,920 2. What is the expected aftertax salvage value when the equipment is sold in year 37 4. $26,800 b. $24,800 9 $66,000 d. $26,400 G $25.600 + What is the annual operating cash flow at which you breakeven? $23,226 A 6 $25,120 G $22,993 4. $27,645 $23,458 What is the minimal amount rounded to the im