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Your corporation is considering replacing older equipment. The old machine is fully depreciated and cost $41,434.00 seven years ago. The old equipment currently has no

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Your corporation is considering replacing older equipment. The old machine is fully depreciated and cost $41,434.00 seven years ago. The old equipment currently has no market value. The new equipment cost $66,150.00. The new equipment will be depreciated to zero using straight-line depreciation for the four-year life of the project. At the end of the project the equipment is expected to have a salvage value of $29,660.00. The new equipment is expected to save the firm $38,334.00 annually by increasing efficiency and cost savings. The corporation has tax rate of 40.89% and a required return on capital of 12.52%. Please enter your answers with two decimal places, as these are dollar amounts. A. What is the total initial cash outflow? (Show as a negative number): $ B. What are the estimated annual operating cash flows? \$ C. What is the terminal cash flow? \$ D. What is the NPV for this project? \$

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