Terminal cash flow: Various tives and sale prices Looner industries is currently analyzing the purchase of a new machine that costs $162.000 and requires $20,100 in instalaton costs Purchase of this machine is expocted to rasult in an increase th net working capital of $30.500 to support the expanded level of operasions. The firm plans to depreciate the machine under MacRS using a fivo-year recovery period (pee the thble for the opplicable depreciation percentages) and expects to sell the machine to net $10,400 beloro taxes at the end of its usable ife. The fim is subject to a 21 \$stax rate. a. Calculate the terminal cash flow for a usable lfe of (1) three years, (2) flve years, and (3) seven years: b. Discuss the effect of usable life on terminal cash flows using your findings in part a. c. Assuming a five-year usable life, calculate the terminal cash flow if the machine were sold to net (1) $9,1050r(2)$170,700 before taxes) at the end of five years d. Dicuss the effect of sale price on terminal cash flow using your findings in purt c. a. Calcuiate the terminal cash fow for a usable ife of (1) 3 years, (2) 5 years, and (3) 7 years. The following table can be used to solve for the serminal cash flow: (Round to the nearest dolar) Data table (Click on the icon here D 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 "These percentages have been rounded to the nearest whole percent to simpiry caiculaturis wriue retaining realism. To calculate the actual depreciation for tax purposes, be sure to apply the actual unrounded percentages or directly apply double-declining balance (200%) depreciation using the half-year convention