Use the following information to answer the question.

ABC Company is considering the purchase of new equipment. The following information is relevant to the decision:

$$ The cost of the new machine is $$220,000.$

$$ Installation will cost $$10,000.$

$$ The company spent $$10,000$ on a market analysis two months ago.

$$ The project will require an immediate increase in working capital of $$10,000$; the working capital will be fully recaptured at the end of the life of the project.

$$ The project will increase annual revenues by $$125,000$ and annual operating costs by $$45,000.$

$$ The project has an estimated life of five years.

$$ The machine will be depreciated via straight$-$line depreciation to a salvage value of $$0$ over the $5-$year life of the asset.

$$ Realizable salvage value in five years is $$50,000.$

$14\%$ cost of capital; $34\%$ marginal tax rate.

$$ Old machine has book value of $$0.$

$$ Old machine will be thrown away at no cost$.$

What is the terminal cash flow of the project?

$$43,000$

$$10,000$

$$60,000$

$$27,000$