Problem #4 Weinstein's Nordic Italian Cuccina de Casa Pasta Faglioli Inc. has compiled the following data pertaining to the purchase of a new laser fired pizza ovens: $ Original cost Intended date of acquisition Tax depreciation life Projected revenue Cost of goods sold Maintenance & Repair expense Utilities expense Other annual operating costs payable in cash $ $ $ $ $ 2021 250,000 $ 37,500 $ 5,000 $ 30,000 $ 44,000 $ 450,000 1-Jan-21 5-years 2022 270,000 40,500 5,000 32,400 46,000 Data pertaining to the conventional ovens is as follows: Original cost $ Date of acquisition Tax depreciation life 2021 Projected revenue $ 175,000 $ Cost of goods sold $ 78,750 $ Maintenance & Repair expense $ 12,000 $ Utilities expense $ 26,250 $ Other annual operating costs payable in cash $ 21,000 $ Required: Calculate the incremental operating cash flows for the new equipment 2021 and 2022. (Assume a 40% tax rate) 160,000 1-May-15 7-years 2022 160,000 72,000 14,000 24,000 21,000