Project has an annual operating cash flow

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Reference no: EM131054561

A project has an annual operating cash flow of $15,477. Initially, this 4-year project required $4,368 in net working capital, which is recoverable when the project ends. The firm also spent $10,000 on equipment to start the project. This equipment will have a book value of $2,941 at the end of year 4. What is the total cash flow for year 4 of the project if the equipment can be sold for $4,276 and the tax rate is 31%?

Reference no: EM131054561

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