Question Help Operating cash inflows Afirm is considering renewing its equipment to meet increased demand for its product. The cost of equipment modifications is $1.89 million plus $109,000 in installation costs. The firm wil depreciate the equipment modfications under MACRS, using a year recovery periodsetable A n ales revenue from the real should amount to $1.17 million per year and additional operating expenses and other costs(excluding depreciation and interest) will amount to 42% of the additional sales. The firm is subject to a tax rate of 40% (Note: Answer the following questions for each of the next 6 years) a. What incremental earnings before depreciation, interest and taxes will result from the renewal? b. What incrementalne operating profits after taxes will result from the renewal c. What incremental operating Gashindows will rest from the renewal Data Table a. The incremental profits before depreciation and taxare Round to the nearest dollar) b. Calculate the incremental net operwing profits whertaxes below (Round to the nearest dollar) (Click on the loon here in order to copy the contents of the datatable below into a spreadsheet) Rounded Depreciation Percentages by Recovery Year Using MACRS for First Four Property Classes Percentage by recovery year es Profit before depreciation d Depreciation Net profit before Nagrowers (Round to the nearest do Enter any number in the edit fields and then continue to the next