Swindler Ltd has completed a feasibility study costing $17,379 to determine if there is any benefit in purchasing a new asset.The machine will cost $315,145 and an additional $11,755 will need to be spent to have the machine in operational state.Before the machine can be used staff must be trained at a further cost of $8,451.

The project is expected to last for 5 years and the Taxation Office has confirmed this.At the end of the project the machine will be fully depreciated.

Initial advertising costs are expected to $25,516 and additional stock of $62,386 will be needed.Wages will change from $85,000 to $57,122 and Fixed Costs will remain at $27,402.

The new machine is expected to produce sales of $1,126,747 in the first year and will grow by 12% each year of the project.Material costs will be 28% of sales in each year.

You are required to calculate the net cash flow (round to the nearest dollar and DO NOT include $ sign) that would appear in Year 1 of a Capital Budget.

Assume the Australian Company tax Rate applies.