The Moore Corporation is considering the acquisition of a new machine. The machine can be purchased for USD90,000; it will cost USD6,000 to transport to Moore's plant and USD9,000 to install. It is estimated that the machine will last 10 years, and it is expected to have an estimated salvage value of USD5,000. Over its 10-year life, the machine is expected to produce 2,000 units per year with a selling price of USD500 and combined material and labor costs of USD450 per unit. Federal tax regulations permit machines of this type to be depreciated using the straight-line method over 5 years with no consideration for salvage value. Moore has a marginal tax rate of 40 percent.What is the net cash flow for the third year that Moore Corporation should use in a capital budgeting *ysis?
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