(Appendix 8C)Pulkkinen Corporation Has Provided the Following Information Concerning a Capital

question 70

Multiple Choice

(Appendix 8C) Pulkkinen Corporation has provided the following information concerning a capital budgeting project: The company uses straight-line depreciation on all equipment. The total cash flow net of income taxes in year 2 is:

• A)$70, 000
• B)$50, 000
• C)$52, 500
• D)$39, 500