6Roger is considering undertaking a contract which will yield income of $15,000 over a 15-month period.To carry out the contract he will have to use 1,000 kg of material. 800 kg is already held in inventory and cost $15 per kg. The current replacement cost is $20 per kg. If not used for the contract the material would be sold to Moore Co for $2,000 in total.Roger could utilise his old machine for the contract if conversion costs of $5,000 are undertaken. Alternatively he could scrap his old machine and receive $3,000 and hire another one at a cost of $500 per month.Labour currently has spare capacity and variable overheads are estimated to be $1 per hour. 2,000 hours are believed to be required for the period of the contract.What is the net relevant cash flow for the contract? (Ignore the time value of money.)