The cost of new machine is $220,000. The cost of shipping is $10,000 and of installation is $20,000. The required working capital is $25,000. Using the 3-year MACRS schedule, determine the depreciation expense in year 2. Round to the nearest penny. Do not include a dollar sign. Year 3-YR MACRS 33.33% 44.45% 14.81% 7.41% XYZ Company is considering a project that requires a new equipment. The new machine will cost the firm $220,000. In order to have the machine in working condition, XYZ will spend $7,000 in installation and $3,000 in shipping. Since it will produce more, a $10,000 investment in net working capital is required. The new machine will be depreciated over the simplified straight-line depreciation method. The life of the asset is 5 years. What is the depreciation expense of this project in Year 2? Round to the nearest penny. Do not include a dollar sign in your answer. XYZ Company is considering whether a project requiring the purchase of new equipment is worth investing. The cost of a new machine is $340,000 including shipping and installation. The project will increase annual revenues by $400,000 and annual costs by $100,000. The machine will be depreciated via straight-line depreciation for three years to a salvage value of $40,000. If the firm does this project, $30,000 in net working capital will be required. What is the annual cash flow of this project in the second year if the tax rate is 40%? Round to the nearest penny. Do not include a dollar sign in your