9- Suppose that a company is about to decide on a replacement investment. The old machine on hand was purchased two years ago for 65,000 $. Straight-line depreciation is employed for the old machine where useful life is 5 years. The current market value of the old machine is determined as 23,000 $. The new machine that will replace the old one would cost 140,000 $ excluding 4,000 $ shipping and 2,000 $ installation costs. The acquisition of the new machine will increase accounts receivable by 9,000 $, the inventory by 13,000 $, and accounts payable by 15,000 $. The corporate tax rate is 30%. What would be the initial investment outlay?

1. 125.200 $
2. 118.200 $
3. 123.000 $
4. 134.200 $

10- In a capital project, an old machine, which was purchased at a cost of 600.000 $ 3 years ago and had a useful life of 5 years will be sold now at a price of 300.000 $. The machine also had a salvage value of X. The company applies accelerated depreciation method. Tax rate is 40%. In order to produce a net disposal cash inflow of 269.472 $, what should be the X?

1. 60.000 $
2. 80.000 $
3. 100.000 $
4. 120.000 $