BMI Corporation is evaluating the relevant cash flows for a new machine. The project's initial investment is $40,000. It is expected to last for three years and expected to generate annual revenue of $16000, annual cash expenses of $8,000. The investment will be depreciated using straight-line method. The machine is expected to be sold at the end of 3 years for $5,000. For the purpose of net working capital needs, it is expected to budget 10% of revenue as cash balance, 20% of cash expense as an inventory balance, and 15% of cash expense as an account payable balance. All of these balances would be needed at the beginning of each year and are estimated from the year-end annual estimates of revenues and cash expenses given above. The tax rate is 25% and the cost of capital is 9%. a. What is the cash flow at year = 0 b. What is the cash flow at year = 1 c. What is the cash flow at year = 2 d. What is the cash flows at year = 3 e. If the cost of capital is 10%, is this a good investment