Question: Daily Enterprises is purchasing a $10.0 million machine. It will cost $50,000 to transport and install the machine. The machine has a depreciable life of

Daily Enterprises is purchasing a $10.0 million
Daily Enterprises is purchasing a $10.0 million machine. It will cost $50,000 to transport and install the machine. The machine has a depreciable life of ve years using straightline depreciation and will have no salvage value. The machine will generate incremental revenues of $4.0 million per year along with incremental costs of $1.2 million per year. Daily's marginal tax rate is 21 %. You are forecasting incremental 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 it) 10050000 . (Round to the nearest dollar.} The free cash flow for years 15 will be $|:|. (Round to the nearest dollar.)

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