machine. The firm is subject to a $21\%$ tax rate.

The terminal cash flow for the replacement decision is shown below: $($Round to th

Proceeds from sale of new machine

Tax on sale of new machine

Total after$-$tax proceeds$-$new asset

Proc$$eds from sale of old machine

Tax on sale of old machine

Total after$-$tax proceeds$-$old asset

Change in net working capital

Terminal cash flow

Data table

$($Click on the icon here $$ in order to copy the contents of the data table below into a spreadsheet.$)$

Rounded Depreciation Percentages by Recovery Year Using MACRS for First Four Property Classes

$\backslash$table$[[$Recovery year,Percentage by recovery year$*],[3$ years,$5$ years,$7$ years,$10$ years$],[1,33\%,20\%,14\%,10\%$