KADS, Inc. has spent $340,000 on research to develop a new computer game. The firm is planning to spend $140,000 on a machine to produce the new game. Shipping and installation costs of the machine will be capitalized and depreciated; they total $44,000. The machine has an expected life of three years, a $69,000 estimated resale value, and falls under the MACRS seven-year class life. Revenue from the new game is expected to be $540,000 per year, with costs of $190,000 per year. The firm has a tax rate of 21 percent, an opportunity cost of capital of 11 percent, and it expects net working capital to increase by $70,000 at the beginning of the project. What will the cash flows for this project be? (Negative amounts should be indicated by a minus sign. Round your answers to 2 decimal places.) Year 0 --254000.00, Year 1 = 282821.66, Year 2 = 285962.94, Year 3 - 424465.41 Year 0 = -254000.00, Year 1 = 28292166, Year 2 = 285862.94, Year 3 - 424665.41 Year 0 = -254000.00, Year 1 - 282021.66, Year 2 = 285962.94, Year 3 - 424665.41 Year 0 - -254000.00, Year 1 - 282021.66, Year 2 = 285462.94, Year 3 = 424165.411 * Previous Next O i L E