Carson Co$,$ is a clothing company that is investigating replacing one of its industrial$-$sewing equipment. This project is brought to Carson's managers as a result of a third$-$party consulting company's report that has put forth a due diligence report for the Project. The clist of this consultation has been $$8,700.$ The new machine costs $$160,000$ to purchase, has an estimated useful life of $5$ years, and is estimated to have a salvage value of $35,000.$ Carson Co$.$ also would have to spend $8,000$ to train the staff on the new machine.

The old equipment has a current net book value of $$40,000$ and a remaining useful life of $5$ years. If the old equipment is kept in operation the firm can sell it for $15,000$ at the end of its useful life.

is predicted that the new equipment will result in an operational cost savings of $$76,000$ if Carson decides to replace the old equipment. Additionally, the new equipment will result in a more efficient inventory management, and therefore, Carson Co$.$ can free up a total of $$4,000$ in its current level of inventory and accounts receivable investment, as soon as the new equipment is installed.

Both equipment fall into CCA class of $43$ with $30\%$ CCA rate. The corporate tax rate is $25\%,$ and Carson's WACC is $13\%.$ Should Carson Co$.$ purchase the

new equipment and replace the old one?

Please use math to explain everything. Including the CCA tax shield, NPV$,$ annual cash flows, etc.