Terminal cash flow: Replacement decision Russell Industries is considering replacing a fully depreciated machine that has a remaining useful life of $10$ years with a newer, more sophisticated depreciation percentages$).$ A $$29,000$ increase in net working capital will be required to support the new machine. The firm's managers plan to evaluate the potential replacement over a $4-$year period. They estimate that the old machine could be sold at the end of $4$ years to net $$14,900$ before taxes; the new machine at the end of $4$ years will be worth $$78,000$ before taxes. Calculate the terminal cash flow at the end of year $4$ that is relevant to the proposed purchase of the new machine. The firm is subject to a $21\%$ tax rate.

The terminal cash flow for the replacement decision is shown below: $($Round to the nearest dollar.$)$

Terminal cash flow

Data table

$($Click on the icon here in order to copy the contents of the data table below into a spreadsheet.$)$

Rounded Depreciation Percentages by Recovery Year Using MACRS for First Four Property Classes

$\backslash$table$[[,$Percentage by recovery year$*],[$Recovery year,$3$ years,$5$ years,$7$ years,$10$ years$],[1,33\%,20\%,14\%,10\%$