The Highlight Company is reviewing a proposed 7-year project with an initial cost of $687,400. The annual fixed costs ar

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The Highlight Company is reviewing a proposed 7-year project
with an initial cost of $687,400. The annual fixed costs are
$92,800, the variable cost per unit is $50, and the sales price per
unit is $89. The tax rate is 21 percent and the discount rate is 12
percent. All assets are depreciated straight-line over the life of
the project.
What is the annual operating cash flow from the project if they
expect to sell 8,000 units per year?
Hint: OCF = EBIT - Taxes Paid + Depreciation
Depreciation = $787,400 / 7 = $98,200
Group of answer choices
$195,117.20
$193,790.00
$190,50.07
$178,509.89