Q 56

Your company,RMU Inc. ,is considering a new project whose data are shown below.Under the new tax law,the equipment used in the project is eligible for 100% bonus depreciation,so it will be fully depreciated at t = 0.What is the project's Year 1 cash flow?
A) $2,350
B) $4,345
C) $12,883
D) $1,063
E) $10,529

Q 58

Clemson Software is considering a new project whose data are shown below.The required equipment has a 3-year tax life,after which it will be worthless.Under the new tax law,the equipment is eligible for 100% bonus depreciation,so it will be fully depreciated at t = 0.Revenues and operating costs are expected to be constant over the project's 3-year life.What is the project's Year 1 cash flow? Do not round the intermediate calculations and round the final answer to the nearest whole number.
A) $33,040
B) $32,008
C) $29,598
D) $28,222
E) $26,250

Q 59

As a member of UA Corporation's financial staff,you must estimate the Year 1 cash flow for a proposed project with the following data.Under the new tax law,the equipment used in the project is eligible for 100% bonus depreciation,so it will be fully depreciated at t = 0.What is the Year 1 cash flow? Do not round the intermediate calculations and round the final answer to the nearest whole number.
A) $22,922
B) $17,677
C) $20,785
D) $21,375
E) $17,871