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You purchased a machine for $1.13 million three years ago and have been applying straight-line depreciation to zero for a seven-year life Your tax rate

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You purchased a machine for $1.13 million three years ago and have been applying straight-line depreciation to zero for a seven-year life Your tax rate is 38%. If you sell the machine today (after three years of depreciation) for $744,000, what is your incremental cash flow fro selling the machine? Your total incremental cash flow will be $ (Round to the nearest cent.) Daily Enterprises is purchasing a $9.8 million machine. It will cost $52,000 to transport and install the machine. The machine has a depreciable life of five years using straight-line depreciation and will have no salvage value. The machine will generate incremental revenues of $4.4 million per year along with incremental costs of $1.3 million per year. Daily's marginal tax rate is 35%. You are forecasting incrementa free cash flows for Daily Enterprises. What are the incremental free cash flows associated with the new machine? The free cash flow for year 0 will be \$ (Round to the nearest dollar.)

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