Candyy Company is considering the purchase of a new 400-ton stamping press. The press costs $310,000, and an additional $35,000 is needed to install it. The press will be depreciated straight-line to zero over a five-year life. The press will generate no additional revenues, but it will reduce cash operating expenses by $110,000 annually. The press will be sold for $110,000 after five years. An inventory investment of $50,000 is required during the life of the investment. Beaver is in the 35 percent tax bracket. (Write down the calculation process with your answer, otherwise you will receive 0)

a) What is the candyy net investment outlay?

b) candyy incremental annual after-tax operating cash flow is closest to:

c) What is the terminal year after-tax non-operating cash flow at the end of year five?