Multiple Choice
A project is expected to decrease a firm's cash expenses by $40,000 annually, and increase its depreciation by $25,000 annually. Given this information, what is the project's expected annual net cash flow? Use a 40% effective tax rate.
A) $31,000
B) $9,000
C) $16,000
D) $34,000
Correct Answer:
Verified
Correct Answer:
Verified
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