Question $4$

$2pts$

A $$76,000$ machine with a $9-$year class life was purchased $6$ years ago. The machine will now be sold for $$40,000$ and replaced with a new machine costing $$63,000,$ with a $5-$year class life. The new machine will not increase sales, but will decrease operating costs by $$16,000$ per year. Simplified straight line depreciation is employed for both machines, and the marginal corporate tax rate is $34$ percent. What is the initial outlay for the project? NOTE $-$ALTHOUGH THE INITIAL OUTLAY IS NEGATIVE, PLEASE ENTER YOUR ANSWER AS A POSITIVE SIGN. IN OTHER WORDS, IF YOUR ANSWER IS $-10,000,$ ENTER ITAS $10,000.$ DO NOT ENTER THE DOLLAR SIGN.