What is the cash flow for year four of the project

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Reference no: EM131595913

A project has an operating cash flow of $33,000. Initially, this 4-year project required $5,600 in net working capital, which is recoverable when the project ends. The firm also spent $16,400 on equipment to start the project. This equipment will have a book value of $2,800 at the end of year 4. What is the cash flow for year 4 of the project if the equipment can be sold for $4,500 and the tax rate is 35 percent?

Reference no: EM131595913

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