6. Cairo Corporation has the following information about the purchase of a new piece of equipment: (35 points) Cash revenues less cash expenses $200,000 per year Cost of equipment $620,000 Salvage value at the end of the 8th year $60,000 Increase in working capital requirements $140,000 Tax rate 25 percent Life The cost of capital is 13 percent. Required: a. Calculate the following assuming straight-line depreciation: Calculate the after-tax net income for each of the eight years. ii. Calculate the after-tax cash flows for each of the eight years. iii. Calculate the after-tax payback period. 8 years