Jim Bo's Currently Has Annual Cash Revenues of $240,000 and Annual

Jim Bo's currently has annual cash revenues of $240,000 and annual operating expenses of $185,000 including $35,000 in depreciation.The firm's marginal tax rate is 40 percent.A new cutting machine can be purchased for $120,000 will increase revenues by $50,000 per year while operating expenses would increase to $205,000, including $42,000 in depreciation.Compute Jim Bo's annual incremental after-tax net cash flows.

A) $25,000
B) $20,800
C) $93,000
D) $19,000