Can you please solve it step in step. Thank you so much.

Old equipment Current book value Current market value Remaining life Cash flows Annual sales for a replacement Cash operating project expenses Annual depreciation Accounting salvage value Expected salvage $400,000 $600,000 10 years $300,000 $120,000 $40,000 $0 $100.000 Acquisition cost Life New equipment Annual sales Cash operating expenses $1,000,000 10 years $450,000 $150,000 Annual depreciation $100,000 Accounting salvage $0 value Exnected salvane $200.000 If the new equipment replaces the old equipment, an additional investment of $80,000 in net working capital will be required. Tax rate = 30% Required rate of return: 8%