Relevant cash flow and timeline depiction For each of the following projects, determine the relevant cash flows, and depict the cash flows on a time line. a. A project that requires an initial investment of $122,000 and will generate annual operating cash inflows of $28,000 for the next 16 years. In each of the 16 years, maintenance of the project will require a $5,100 cash outflow. b. A new machine with an installed cost of $83,000. Sale of the old machine will yield $30,000 after taxes. Operating cash inflows generated by the replacement will exceed the operating cash inflows of the old machine by $23,000 in each year of a 6-year period. At the end of year 6, liquidation of the new machine will yield $23,000 after taxes, which is $10,000 greater than the after-tax proceeds expected from the old machine had it been retained and liquidated at the end of year 6. c. An asset that requires an initial investment of $2 million and will yield annual operating cash inflows of $301,000 for each of the next 12 years. Operating cash outlays will be $16,000 for each year except year 5, when an overhaul requiring an additional cash outlay of $503,000 will be required. The asset's liquidation value at the end of year 12 is expected to be zero. b. A new machine with an installed cost of $83,000. Sale of the old machine will yield $30,000 after taxes. Operating cash inflows generated by the replacement will exceed the operating cash inflows of the old machine by $23,000 in each year of a 6-year period. At the end of year 6, liquidation of the new machine will yield $23,000 after taxes, which is $10,000 greater than the after-tax proceeds expected from the old machine had it been retained and liquidated at the end of year 6. (Select all the choices that apply.) A. Year 0 1 2 3 4 5 6 Cash flow – $53,000 B. Year 0 $23,000 1 $23,000 2 $23,000 3 $23,000 4 $23,000 5 $33,000 6 Cash flow – $53,000 $23,000 $23,000 $23,000 $23,000 $23,000 $23,000 O C. This is a conventional cash flow pattern, where the subsequent cash inflows vary, which is referred to as a mixed stream. OD. At year 0, the initial investment will be - $83,000 + $30,000 = - $53,000. For each of the years 1 thru 5, the net cash flow will be $23,000. At year 6, the net cash flow will be $23,000 + $23,000 - $13,000 = $33,000.