Fandango Industries is considering replacing an existing capital asset with a new asset and wants to estimate the terminal cash flow (TCF) in 5 years. The new capital asset is expected to generate an operating cost savings of $7,000 in year 5. The salvage value of the new asset is expected to be $40,000 and its book value will be $50,000. The salvage value of the old asset will be $30,000 and its book value in 5 years is $10,000. The replacement will require a $5,000 time-zero increase in net working capital. The tax rate is 22 percent. What is the TCF? O $21,600 $27,100 $38,200 O $35,400 O $18,500