The Sweetwater Candy Company would like to buy a new machine that would autornatically dip chocolates. The dipping operation is currently done largely by hand. The machine the company is considering costs $120.000. The manufacturer estimates that the machine would be usable for 12 years, but would require the replacement of several key parts at the end of the sixth year. These parts The compary estimates that the cost to operate the machine will be only $9.000 per year. The present method of clipping chocolates costs $38,000 per yeat in addition to reducing costs, the new machine will increase production by 2.000 boxes of chocolates per. year. The company realizes a contribution margin of $1.00 per box. A 20% rate of return is required on all investments. Required: 1. What are the net annual cash inflows that will be provided by the new dipping machine? 2. Compute the new machine's net present value using the incremental cost approach. (Round discount factor(s) to 3 decimal ploces.)