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Summer Tyme, Inc., is considering a new 3-year expansion project that requires an initial fixed...

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Accounting

Summer Tyme, Inc., is considering a new 3-year expansion project that requires an initial fixed asset investment of $796,274. The fixed asset will be depreciated straight-line to 40,768 over its 3-year tax life, after which time it will have a market value of $90,959. The project requires an initial investment in net working capital of $40,087. The project is estimated to generate $220,653 in annual sales, with costs of $91,851. The tax rate is 0.37 and the required return on the project is 0.09. What is the operating cash flow in years 1 through 3? (Make sure you enter the number with the appropriate +/- sign)

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