Novak Industries is considering the purchase of new equipment costing $1,110,000 to replace existing equipment that will be sold for $170,000. The new equipment is expected to have a $230,000 salvage value at the end of its 4-year life. During the period of its use, the equipment will allow the company to produce and sell an additional 30,200 units annually at a sales price of $20 per unit. Those units will have a variable cost of $10 per unit. The company will also incur an additional $70,000 in annual fixed costs. Identify the amount and timing of all cash flows related to the acquisition of the new equipment. (Enter negative amounts using a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

Cash Flow		Timing		Amount
Purchase of new equipment		Select a period of timeSelect a period of time Year 0Year 1Year 2Year 3Year 4Years 1-4		$Enter a dollar amount Enter a dollar amount
Salvage of old equipment		Select a period of timeSelect a period of time Year 0Year 1Year 2Year 3Year 4Years 1-4		Enter a dollar amountEnter a dollar amount
Sales revenue		Select a period of timeSelect a period of time Year 0Year 1Year 2Year 3Year 4Years 1-4		Enter a dollar amountEnter a dollar amount
Variable costs		Select a period of timeSelect a period of time Year 0Year 1Year 2Year 3Year 4Years 1-4		Enter a dollar amountEnter a dollar amount
Additional fixed costs		Select a period of timeSelect a period of time Year 0Year 1Year 2Year 3Year 4Years 1-4		Enter a dollar amountEnter a dollar amount
Salvage of new equipment		Select a period of timeSelect a period of time Year 3Year 2Year 4Year 0Years 1-4Year 1		Enter a dollar amountEnter a dollar amount