Initial cash flow at various sale prices Edwards Manufacturing Company $($EMC$)$ is considering replacing one machine with another. The old machine was purchased $3$ years ago for an installed cost of

$$10,000.$ The new machine costs $$23,300$ and requires $$2,080$ in installation costs. Both machines are depreciable using a MACRS five$-$year recovery period $($See table $$ for the applicable

depreciation percentages.$)$ The firm is subject to a $21\%$ tax rate. In each of the following cases, calculate the initial cash flow for the replacement.

a$.$ EMC sells the old machine for $$12,900.$

b$.$ EMC sells the old machine for $$7,010.$

c$.$ EMC sells the old machine for $$2,900.$

d$.$ EMC sells the old machine for $$1,520.$

Calculate the initial cash flow at various sale prices below.

a$.$ EMC sells the old machine for $$12,900.($Round to the nearest dolla

$($a$)$

Data table