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| The Dickins Corporation is considering the acquisition of a new machine at a cost of $180, Transporting the machine to Dickins’ plant will cost $12, Installing the machine will cost an additional $18, It has a 10-year life and is expected to have a salvage value of $10, Furthermore, the machine is expected to produce 4,000 units per year with a selling price of $500 and combined direct materials and direct labor costs of $450 per unit. Federal tax regulations permit machines of this type to be depreciated using the straight-line method over 5 years with no estimated salvage value. Dickins has a marginal tax rate of 40%.What is the net cash outflow at the beginning of the first year that Dickins should use in a capital budgeting analysis? What is the net cash outflow at the beginning of the first year that Dickins should use in a capital budgeting analysis? A. $(170,000) B. $(180,000) C. $(192,000) D. $(210,000) |