Relevant cash flows-No terminal value Central Laundry and Cleaners is considering replacing an existing piece of machinery with a more sophisticated machine. The old machine was purchased 3 years ago at a cost of 549,100, and this amount was being depreciated under MACRS using a 5-year recovery period The machine has 5 years of usable life remaining. The new machine that is being considered costs $76,400 and requires $3,900 in installation costs. The new machine would be depreciated under MACRS using a 5-year recovery period. The fim can currently sell the old machine for $55,800 without incurring any removal or cleanup costs. The firm is subject to a tax rate of40% The revenues and expenses excluding depreciation and interest) associated with he new and the old machinesforte eds easil given in the table ablecontains the applicable MACRS depreciation percentages. Note The new machine will have no terminal value at the end of 5 years. a. Calculate the initial investment associated with replacement of the old machine by the new one b. Determine the incremental operating cash inflows associated with the proposed replacement (Note: Be sure to consider the depreciation in year 6.) c. Depict on a time line the relevant cash flows found in parts (a) and (b) associated with the proposed replacement decision