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Required information [The following information applies to the questions displayed below.) Lightening Bulk Company is a moving company specializing in transporting large items worldwide. The firm has an 86% on-time delivery rate Fourteen percent of the items are misplaced and the remaining 1% are lost in shipping. On average, the firm incurs an additional $66 per item to track down and deliver misplaced items. Lost Items cost the firm about $310 per Item Last year, the firm shipped 6,010 items with an average freight bill of $210 per item shipped The firm’s manager is considering Investing in a new scheduling and tracking system costing $120,000 per year. The new system is expected to reduce misplaced items to 2% and lost items to 0.25%. Furthermore, the firm expects total sales to increase by 11% with the improved service. The average contribution margin ratio on any increased sales volume, after cost savings associated with a reduction in misplaced and lost items, is expected to be 38.5% Required: 16. What is the estimated change in pretax cash flow under the proposed system? (Negative amounts should be indicated by a minus sign. Round your answers to the nearest whole dollar amount.) Answer is not complete. + Cost of the new system (per year) Expected benefits each year from the new system Contribution margin from sales increase Cost savings from decrease in misplaced items-existing sales Savings from decrease in lost items-estisting sales Change in pro-tax cash flow per year under the new system $ 0