Could anyone answer my question please:

A company estimates that it will be able to sell the equipment used in a project for 80.000 after the project is terminated.

The project will last for 4 years and the machinery will have been fully depreciated at the end of Year 4, so its estimated residual value is 80.000.

If we assume that after Year 0 the sales prices will increase with an annual inflation of 5%, this inflation will have an impact on equipment's estimated residual value as well?

I mean, should we consider this inflation of 5% per year and re-estimate the residual value of the machine (which in this case will be 80.000*1,05^4) or the residual value remains constant and equal to 80.000?

I need to calculate some cash flows with this inflation and I don't know if the terminal non-operating cash flow is affected.