The president of the company you work for has asked you to evaluate the proposed acquisition of a new chromatograph for the firm's R&D department. The equipment's basic price is $$140,000,$ and it would

cost another $$21,000$ to modify it for special use by your firm. The chromatograph, which falls into the MACRS $3-$year class, would be sold after $3$ years for $$49,000.$ The MACRS rates for the first $3$ years are $0\mathrm{.}3333,0\mathrm{.}4445$ and $0\mathrm{.}1481.$ Use of the equipment would require an increase in net working capital $($spare parts inventory$)$ of $$5,600.$ The machine would have no effect on revenues, but it is expected to

save the firm $$42,000$ per year in before$-$tax operating costs, mainly labor. The firm's marginal federal$-$plus$-$state tax rate is $40\%.$

a$.$ What is the Year $0$ net cash flow? If the answer is negative, use parentheses.

b$.$ What are the net operating cash flows in Years $1,2,$ and $3?$ Do not round intermediate calculations. Round your answers to the nearest dollar.

Year $1,$$

Year $2$$

Year $3$$

c$.$ What is the additional $($nonoperating$)$ cash flow in Year $3?$ Do not round intermediate calculations. Round your answer to the nearest dollar.

d$.$ If the project's cost of capital is $13\%,$ should the chromatograph be purchased?