Zeta Software is considering a new project whose data are shown below. The required equipment has a 3-year project life, after which it will be worthless, and it has a constant deduction rate over 3 years. Revenues and cash operating costs are expected to be constant over the project's 3-year life. What is the project's operating cash flow for Year 1?
A) $29,196
B) $29,945
C) $30,712
D) $31,500

Question

Zeta Software is considering a new project whose data are shown below. The required equipment has a 3-year project life, after which it will be worthless, and it has a constant deduction rate over 3 years. Revenues and cash operating costs are expected to be constant over the project's 3-year life. What is the project's operating cash flow for Year 1? 
A) $29,196 
B) $29,945 
C) $30,712 
D) $31,500

Quizplus · Accepted Answer

The Answer of Zeta Software is considering a new project whose data are shown below. The required equipment has a 3-year project life, after which it will be worthless, and it has a constant deduction rate over 3 years. Revenues and cash operating costs are expected to be constant over the project's 3-year life. What is the project's operating cash flow for Year 1? 
A) $29,196 
B) $29,945 
C) $30,712 
D) $31,500

Zeta Software Is Considering a New Project Whose Data Are