Kingbird is considering the replacement of a piece of equipment with a newer model. The following data has been collected:

	Old Equipment		New Equipment
Purchase price	$180000		$300000
Accumulated depreciation	72000		- 0 -
Annual operating costs	240000		192000

If the old equipment is replaced now, it can be sold for $48000. Both the old equipments remaining useful life and the new equipments useful life is 5 years. For this question only, assume that six months ago Chungs equipment manager spent $24000 refurbishing the old equipment. Additionally, the equipment manager has determined that the new equipment can be rented out during idle periods to generate $1440 per year. Using this new information, what is the total cash flow associated with replacing the equipment?

($268800)

($244800)

($36000)

($252000)