Calculating 'cash flows over the life! Raspberry Corporation (RASP) is evaluating replacing its old bread making machine with a new bread making machine. The new bread making machine costs $250,000 immediately, and has an effective life of 20 years according to the tax office. A competitor will purchase the old bread machine immediately for $120,000. The new bread making machine is expected to increase RASP's total yearly sales from $500,000 to $550,000. Due to operating efficiencies, the new bread making machine is expected to reduce RASP's yearly operating costs by $80,000 from $300,000. For internal management reports, the new bread making machine will be depreciated using a 12-year useful life. RASP will borrow money to fund the purchase of the new machine, where annual principal and interest payments equate to $30,000. The old bread making machine incurs annual depreciation of $12,000, and has 20 years until it is fully depreciated. Assume the company tax rate is 30%. What are the 'cash flows over the life? [Describe and list separately each cash flow and the corresponding amount on a new line, as in lecture and tutorial examples.] (Provide the cash flows over the life for one year only because the cash flows are the same during each year of the project's life). Where applicable, show as much working out as possible, otherwise you may be penalised)