Jensen Manufacturing is considering buying an automated machine that costs $250.000 and is expected to last five years. It requires initial working capital of $25,000. Annual cash savings are expected to be 5103,000 per year for 5 years. Jensen uses straight line depreciation. The salvage value at the end of the machine's useful life is expected to be $10,000. The working capital will be recovered at the end of the machine's life. The Company has a 15% required rate of return What is the cash flow INCLUDING the impact of income taxes in year 1? Assume the company has a 40% tax rate Present value factors are: Periods 10% 12% 15%6 1 .909 893 870 2 .826 797 .756 3 .751 .712 658 4 .683 .636 572 5 621 567 497 Present value of an annuity: Periods 10% 12% 15% 1 1909 893 1870 2 1.736 1.690 1.626 3 2.487 2.402 2.283 4 3.170 3.037 2.855 3.791 3.605 3.352