(New project analysis) Garcia's Truckin' Inc. is considering the purchase of a new production machine for $300,000. The purchase of this machine will result in an increase in earnings before interest and taxes of $80,000 per year. To operate the machineproperly, workers would have to go through a brief training session that would cost $3,000 after taxes. It would cost $6,000 to install the machine properly. Also, because this machine is extremelyefficient, its purchase would necessitate an increase in inventory of $20,000. This machine has an expected life of 10years, after which it will have no salvage value. Finally, to purchase the newmachine, it appears that the firm would have to borrow$100,000 at 9percent interest from its localbank, resulting in additional interest payments of $9,000 per year. Assume simplifiedstraight-line depreciation and that the machine is being depreciated down tozero, a 3535 percent marginal taxrate, and a required rate of return of 14percent. a.What is the initial outlay associated with thisproject? b.What are the annualafter-tax cash flows associated with this project for years 1 through9? c.What is the terminal cash flow in year 1010 (what is the annualafter-tax cash flow in year 1010 plus any additional cash flows associated with the termination of theproject)? d.Should the machine bepurchased? ucking Inc. is considering