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Mom's Cookles, inc, is considering the purchase of a new cookle oven. The original cost of the old oven was $46,000; is is now five

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Mom's Cookles, inc, is considering the purchase of a new cookle oven. The original cost of the old oven was $46,000; is is now five years old, and it has a current market wahe of $20,500. The old oven is being deprecisted over a fo-year life toward a zero estimated salvage value on a straight. line basis, resulting in a current book walue of $23,000 and an annual depreciation expense of $4,600. The old oven can be used for six more years but has no market value after its deprociable life is over. Management is contemplating the purchase of a new oven whose cost is $26,000 and whose estimated salvage value is zero. Expected before-tax cash savings from the new oven are $3,300 a year cver its 11fe, you can use benus deprectation on the oven, and the cost of capital is 10 percent Assume a 21 petcent tax rate. What wil the cash flows for this project be? (Note that the $46,000 cost of the old oven is depreciated over ten years at 54,600 per year. The halfyear convention is not used for the old oven. Negative amounts should be indicated by a minus sign. Do not round intermediste calcutations and round your answers to 2 declmal places.)

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