The Target Copy Company is contemplating the replacement of its old printing machine with a new model costing $ 7 0,000. The old machine, which originally cost $40,000, has 6 years of expected life remaining and a current book value of $ 24 ,000 versus a current market value of $ 29 ,000. Target's corporate tax rate is 40 percent. If Target sells the old machine at market value, what is the initial after-tax outlay for the new printing machine? Cash outflow must be a negative number! Round it a whole dollar and do not include the $ sign.

Your Answer: