Terminal cash flow Replacement decision Russell Industries is considering replacing a deprecated machine that has a remaining us e of 10 years with a newer, more sophisticated machine. The new machine will cost $191,000 and will require $30,300 in installation costs will be depreciated under MACRS using a 5-year recovery period (see the table for the applicable depreciation percentages). A $21.000 Increase in networking capital will be required to support the new machine. The firm's managers plan to evaluate the potential replacement over a 4-year period. They estimate that the old machine could be sold at the and of 4 years to net $16.000 before awes: the new machine at the end of 4 years will be worth $77 000 before wes Calculate the warminal cash fow the end of year 4 that is relevant to the proposed purchase of The new machine. The firm is subject to a 40% text The terminal cash flow for the replacement decision is shown below (Round to the neares Data Table s spreadsheet) Proceeds from sale of new machine Tax on sale of new machine Total hertax proceeds news Proceeds from sale of old machine Tax on sale of old machine Total wher-tax proceso Change in networking capital Terminal cash flow Gick on the icon in order to copy the contents of the data w e we Rounded Depreciation Percentages by Recovery Year Using MACRS for First Four Property Classes Percentage by recovery year Enter any number in the ed fields and then continue to the next