Redden-Bensimon Avionics Corp is considering the purchase of a new machine which will reduce manufacturing and operating costs by $5,000 annually and increase revenues by $6,000 annually. Depreciation and taxes are excluded. Finance.com will use the MACRS method to depreciate the machine, and it expects to sell the machine at the end of its 5-year operating life for $10,000 before taxes. The 5-year MACRS depreciation rates are 20%, 32%, 19%, 12%, 12%, and 5%. Finance.com's marginal tax rate is 35 percent, and uses a 12 percent cost of capital to evaluate projects of this type. (a) If the machine's cost is $40,000 (including set up costs), what is the project's NPV? There are no other relevant cash flows. (b). What is the terminal (or non-operating) cash flow for the project?