Terminal cash flow-Replacement decision Russell Industries is considering replacing a fully depreeciated machine that has a remaining useful life of 10 years with a newer, more sophisticated machine. The new machine will cost S210,000 and will require 30 300 in nstallation.costs, It will be depreciated under MACRS using a 5-year recovery period (see t tor the applicable depreciation percentages) A $30 000 increase in net working capital will b reauired to support the new machine, The firm's table cars to net $14 700 before taxes the new machine at the end of 4 vears will be worth S80 000 before taxes Cakulate the terminal cash flow at the end ot vear 4 that is relevant to the pronosed nurchase of the new machine The firm is subiect to a 40% tax rate The terminal cash flow for the replacement decision is shown below: (Round to the nearest dollar) X Data Table Proceeds from sale of new machine S Tax on sale of new machine top-right corner of the data teble below in order to cooy its contents into a (Click on the icon located on t spreedsheet." Total after tax proceeds-new asset Proceeds from sale of old machine Rounded Depreciation Percentages by Recovery Year Using MACRS for First Four Property Classes Tax on sale of old machine Percentage by recovery yearr Total after tax proceeds old asset Recovery year 3 years 33% 5 years 20% years 14% 10 ears 10% Change in net working capital Terminal cash flow 45% 32% 25% 18% 74% 1240 12% 12% 9% 12% 9% 9% 5% a% 4% 10 6% 11 4% Jotals 10% 100% 100% 100%