Problem $12-15$ Project Cash Flows $($LG$12-5)$

Your company is contemplating replacing their current fleet of delivery vehicles with Nissan NV vans. You will be replacing $5$ fully$-$

depreciated vans, which you think you can sell for $$4,700$ a piece and which you could probably use for another $2$ years if you chose

not to replace them. The NV vans will cost $$46,000$ each in the configuration you want them, and can be depreciated using MACRS

over a $5-$year life, but you are unable to make use of either bonus depreciation or Section $179$ expensing. Expected yearly before$-$tax

cash savings due to acquiring the new vans amounts to about $$5,400$ each. If your cost of capital is $8$ percent and your firm faces a $21$

percent tax rate, what will the cash flows for this project be$?($Round your answers to the nearest dollar amount.$)$