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XYZ. Is thinking about opening a new store. The new store would require an initial...

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XYZ. Is thinking about opening a new store. The new store would require an initial investment of $700,000 and is expected to be in operation for 3 years. MACRS depreciation would be used where the depreciation rates in years 1, 2, 3, and 4 are 33.33%, 44,444, 14.82, and 7.41%, respectively. For each year of the project, Auburn expects relevant revenue associated with the new store to be $460,000 and relevant costs associated with the new store to be $220,000. The tax rate is 40 percent. What is X X equals (the operating cash flow (OCF) associated with the Tuscaloosa store expected in year 2 of the project) plus (the OCF associated with the Tuscaloosa store expected in year 3 of the project)? a $453.928 (plus or minus 5100) b. 5505,756 (plus or minus 5100) c. $397,064 (plus or minus $100) d. 5691,252 (plus or minus 5100) e. None of the above is within $100 of the correct

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