It is being decided whether or not to replace an existing piece of equipment with a newer, more productive one that costs $75,000 and has an estimated MV of $19,000 at the end of its useful life of six years. Installation charges for the new equipment will amount to $3, 500; this is not added to the capital investment but will be an expensed item during the first year of operation. MACRS (GDS) depreciation (5-year property class) will be used. The new equipment will reduce direct costs (labor, maintenance, rework, etc.) by $12,000 in the first year, and this amount is expected to increase by$300 each year thereafter during its six-year life. It is also known that the BV of the fully depreciated old machine is $11,000 but that its present fair MV is $16,000. The MV of the old machine will be zero in six years. The effective income tax rate is 35%. Assume that the after-tax MARR is 18% per year. Click the icon to view the GDs Recovery Rates (r_k) for the 5-year property class. Click the icon to view the interest and annuity table for discrete compounding when the MARR is 18% per year. Determine the prospective after-tax incremental cash flow associated with the new equipment if it is believed that the existing machine could perform satisfactorily for six more years. (Round to the nearest dollar.)