(25 pts overall) Analysts at Chatman Machine Shop are evaluating the replacement of the firm's widget adjusting machine. They call this Project W. The new machine will cost $4,200,000 and be depreciated over a three-year life using straight line. At the end of three years, this machine will have a market value of $210,000. This new machine is expected to increase revenues by $3,100,000 and increase operating expenses by $990,000. Due to the expectation of increased revenues, accounts receivables will be increased by $300,000 at the onset of the project and are expected to be fully recovered at the end of the project. The old machine was originally purchased 3 years ago for $2,500,000. It is being depreciated using the MACRS system as a 3-year asset. Its current market value is $175,000. The firm's tax rate is 30%, and the cost of capital is 18%. MACRS rates for three-year assets: Year 1: 33.33% Year 2: 44.44% Year 3: 14.82% Year 4: 7.41% The analysts need your help in determining the net present value of this project and deciding whether to ACCEPT or REJECT the replacement option given in Project W. Fill in the table with values to the nearest dollar (i.e., no decimals required): The value of each box is based on the items needed to calculate a value for the box. The entire table is worth 21 points. Time 0 Investment CF Operating CF Net working capital CF Total CF 1 2 3 NPV (2 pts); your value should be based on items in the last column of table. Decision (2 pts); zero points awarded if no answer on the blank above