Use the Information for the Question(s)below

question 5

Multiple Choice

Use the information for the question(s) below.
Epiphany Industries is considering a new capital budgeting project that will last for three years.Epiphany plans on using a cost of capital of 12% to evaluate this project.Based on extensive research,it has prepared the following incremental cash flow projections:
-The free cash flow for the last year of Epiphany's project is closest to:

• A)$53,000
• B)$38,000
• C)$35,000
• D)$43,000

---

Definitions:

Gastroesophageal Reflux Disease

A chronic digestive disease in which stomach acid or bile irritates the food pipe lining.

Inguinal Hernia

A condition where a portion of the intestine protrudes through a weakness in the abdominal muscles around the inguinal canal.

Pyloric Stenosis

A condition in newborns resulting in the narrowing of the pylorus, the passage from the stomach to the intestines, leading to projectile vomiting.

Anorexia

A psychological and potentially life-threatening eating disorder characterized by self-imposed starvation and excessive weight loss.