In: Finance
BC Travel Services is considering a new 10-year project that will generate additional sales revenue of $200,000 per year. The associated costs are $120,000 per year. The required rate of return for the project is 12%. The tax rate is 40%. What is the present value of the after-tax operating cash flows?
A. $250,374
B. $271,211
C. $417,289
D. $452,018