QUESTION 3 Mystic Beverage Company is considering purchasing a new bottling machine. The new machine costs $271,134, plus installation fees of $13,460 and will generate earning before interest and taxes of $92,383 per year over its 7-year life. The machine will be depreciated on a straight-line basis over its 7-year life to an estimated salvage value of 0. Mystic's marginal tax rate is 0%. Mystic will require $35,264 in NWC if the machine is purchased. Determine the annual cash flow in year 3 if the machine is purchased, round your answer to two decimals QUESTION 4 Vandalay & Co, anticipates an increase of $1,000,000 in Net Operating Income (EBIT) from first year sales of a new product. The firm's tax rate is 35% and their interest expense is $230,000. The company took $250.000 in depreciation expense. Operating cash flow equals $650,000 $900,000 $800,000 $1,000,000