certain new machinery when placed in service its estimated cost basis was $200,000.it was expected to reduce net annual operating expenses by $40,000 per year for 10 years and to have a $20,000 MV at the end of the 10th year .Annual expenses are $10,000 ; the federal and state income tax rate is 35% and 10% respectively. Develop the ATCF for year 2 and use the straight line depreciation method .The MARR is 10%