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A firm is trying to determine the cash flow from selling an old computer system to an interested buyer. The computer system was purchased five

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A firm is trying to determine the cash flow from selling an old computer system to an interested buyer. The computer system was purchased five years ago for $431,997,00. The system was depreciated using the 7-year MACAS schedule. The firm has an offer this morning for $45,836.00. The tax rate facing the firm is 38.00%. The firm will only accept the offer if it generates a cash flow greater than $47,519.00. What is the NSV from selling the computer system today? Answer format: Cumency: Found to: 2 decimal plados. Taylor United is considering overhauling its equipment to meet increased demand for its product. The cost of equipment overhaul is $3.97 million, plus $240,282.00 in installation costs. The firm will straight-line depreciate the equipment to zero using a 5-year recovery period. Additional sales from the overhaul should amount to $214,563.00 per year, and additional operating expenses and other costs (excluding depreciation) will amount to 35.00% of the additional sales. The firm has an ordinary tax rate of 40.00%. What is the operating cash flow for year 1 of this project? Answer format: Currency: Round to: 2 decimal places

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