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You are a part of a finance team in a firm, and you were askedby your boss to estimate the annual cash flows of a project. Youestimated that the annual sales and costs of this project is$150,000 and $25,000 respectively. In order to start the project,the firm needs to invest in $300,000 in new equipment includingshipping and installation, and $30,000 in working capital. The lifeof this asset is 3 years, and the project will be terminated after3 years of operations. The equipment will depreciate via simplifiedstraight-line method, and the estimated market value of the machinein 3 years is $20,000. The firm has a marginal tax rate of 22%.1- What is the total annual cash flow of the first year of thisproject? Round to the nearest penny. Do not include a dollar signin your answer.2- What is the terminal cash flow of this project?Thanks for the help!!