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Mom's Cookies, incorporated, is considering the purchase of a new cookie oven. The original cost of the old oven was 530,000 , it is now

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Mom's Cookies, incorporated, is considering the purchase of a new cookie oven. The original cost of the old oven was 530,000 , it is now five years old, and it has a current matket value of $13,333.33. The old oven is being depreciated over a 10-year ife toward a 2 ero estimated salvage value on a straight-fine basis, resulting in a current book value of $15,000 and an annual depreciation expense of $3,000. The old oven can be used for six more years but has no market value after its depreciable life is over. Management is contemplating the purchase of a new oven whose cost is $25,000 arid whose estimated salvage value is zero. Expected before-tax cash savings from the new oven are $4,000 a year over its full life, you can use bonus depreciation on the oven, and the cost of capita is 10 percent. Assurne a 21 petcent tax rate What will the cash fows for this project be? Note: Round your onswers to the nearest doller emount

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