Please help with questions A-C

Incremental operating cash inflows Strong Tool Company has been considering purchasing a new lathe to replace a fully depreciated lathe that will last 5 more years. The new lathe is expected to have a 5-year life and depreciation charges of $2,040 in Year 1: $3,264 in Year 2: $1,938 in Year 3; $1,224 in both Year 4 and Year 5; and $510 in Year 6. The firri estimates the revenues and expenses (excluding depreciation) for the new and the old lathes to be as shown in the following table. The firm is subject to a 40% tax rate on ordinary income. a. Calculate the operating cast inlows associated with each lathe. (Note: Be sure to consider the depreciation in year 6.) b. Calculate the incremental (relevant) operating cash inflows resulting from the proposed lathe replacement. c. Depict on a time line the incremental operating cash inflows calculated in part b. a. Calculate the operating cash inflows associated with the new lathe below: (Round to the nearest dollar.) 1 S i Data Table S Year Revenue Expenses (excluding depreciation and interest) Profit before depreciation and taxes Depreciation Net profit before taxes Taxes S (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) S S S Net profit after taxes S Year 1 2 3 New Lathe Expenses (excluding depreciation and interest) $30,200 30,200 30,200 30,200 30,200 Revenus $38,800 39,800 40,800 41,800 42,800 Operating cash flows Old Lathe Expenses (excluding depreciation and interest) $25,300 25.300 25,300 25,300 25,300 S Revenue $35,000 35,000 35,000 35,000 35,000 (Round to the nearest dollar.) 5 Year 2 Revenue Expenses (excluding depreciation and interest) $ $ Print Done Enter any number in the edit fields and then continue to the next