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Suppose that the Kia Plant in West Point, Georgia decides to replace a major assembly...

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Suppose that the Kia Plant in West Point, Georgia decides to replace a major assembly line on the plant floor. The current assembly line has a book value of $200,000, and the firm can sell it to another manufacturer for $400,000 The new assembly line will cost Kia $2,000,000 to purchase, and there will be an additional $40,000 cost to deliver and install the asset. Finally, as part of the new assembly line, Kia will increase net working capital (NWC) by $30,000. The marginal tax rate facing Kia is 35%. What is the cash flow from replacing the old assembly line? (Include all costs....) O -$1,833,000 0-$1,987,000 0-$1,740,000 0-$1,600,000

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