a. New equipment would have to be acquired to produce the device. The equipment would cost $294,000 and have a six-year useful life. After six years, it would have a salvage value of about $6,000. b. Sales in units over the next six years are projected to be as follows: Year Sales in Units , 000 ,000 13,000 15, 000 c. Production and sales of the device would require working capital of $45,000 to finance accounts recelvable, inventories, and day- to-day cash needs. This working capital would be released at the end of the project's life. d. The devices would sell for $50 each; variable costs for production, administration, and sales would be S30 per unit e. Fixed costs for salaries, maintenance, property taxes, insurance, and straight-line depreciation on the equipment would total $171,000 per year. (Depreciation is based on cost less salvage value.) To gain rapid entry into the market, the company would have to advertise heavily. The advertising costs would be: f. Amoust of Yearly 1-2 $74,000 554,000 $44,000 g. The company's required rate of return is 8%. Click here to view Exhibit 138-1 and Exhibit 138-2, to determine the appropriate discount factor(s) using tables. Required: 1, Compute the net cash inflow (incremental contribution margin minus incremental fixed expenses) anticipated from sale of the device for each year over the next six years 2-a. Using the data computed in (1) above and other data provided in the problem, determine the net present value of the proposed 2-b. Would you recommend that Matheson accept the device as a new product? Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req 2B Compute the net cash inflow (incremental contribution margin minus incremental fixed expenses) anticipated from sale of the device for each year over the next six years. (Negative amounts should be indicated by a minus sign.) Year 1 Year 2 Year 3 Year 4-6 Net cash inow (outflow) 2) Using the data computed in (1) above and other data provided in the problem, determine