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Please help, so confused 20 pts. 4. Cash Flow Budget: A small business owner is considering an investment in some new equipment. She would like

image text in transcribedPlease help, so confused
20 pts. 4. Cash Flow Budget: A small business owner is considering an investment in some new equipment. She would like to estimate the impact of this investment on the business cash flows and income in the first year. This includes the loan payments (principal and interes) made in the first year. Use the information provided to complete the partial cash flow budget in the table and briefly answer the question below the table. a. Purchase of new equipment for $250,000 b. The equipment purchase is financed using: i. 10% down payment ii. S50,000 trade-in credit for old equipment with a tax basis of S60,000 iii. 8-year loan for the remainder c. Total interest expenses on the loan of S10,000 d. Total principal payments on the loan of S13.000 e. Maintenance expenses on the new equipment are estimated to be S2000 v f Equipment will be depreciated over 5 years using the straight-line method Outflows Net Cash Flow Section of CFS Inflows Operating Investing Do do nancing Total How would each of the items (a. through f) impact the income statement for this business

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