Find the incremental operating cash inflows generated by the replacement for year 1 below:(Round to the nearest dollar.)

Year	1
Incremental expense savings	$	15,000
Incremental profits before depreciation and taxes	$
Less: Depreciation	$
Net profits before taxes	$
Taxes	$
Net profits after taxes	$
Operating cash flows	$

Find the incremental operating cash inflows generated by the replacement for year 2 below:(Round to the nearest dollar.)

Year	2
Incremental expense savings	$	15,000
Incremental profits before depreciation and taxes	$
Less: Depreciation	$
Net profits before taxes	$
Taxes	$
Net profits after taxes	$
Operating cash flows	$

Find the incremental operating cash inflows generated by the replacement for year 3 below:(Round to the nearest dollar.)

Year	3
Incremental expense savings	$	15,000
Incremental profits before depreciation and taxes	$
Less: Depreciation	$
Net profits before taxes	$
Taxes	$
Net profits after taxes	$
Operating cash flows	$

Find the incremental operating cash inflows generated by the replacement for year 4 below:(Round to the nearest dollar.)

Year	4
Incremental expense savings	$	15,000
Incremental profits before depreciation and taxes	$
Less: Depreciation	$
Net profits before taxes	$
Taxes	$
Net profits after taxes	$
Operating cash flows	$

Find the incremental operating cash inflows generated by the replacement for year 5 below:(Round to the nearest dollar.)

Year	5
Incremental expense savings	$	15,000
Incremental profits before depreciation and taxes	$
Less: Depreciation	$
Net profits before taxes	$
Taxes	$
Net profits after taxes	$
Operating cash flows	$

Find the incremental operating cash inflows generated by the replacement for year 6 below:(Round to the nearest dollar.)

Year	6
Incremental expense savings	$	0
Incremental profits before depreciation and taxes	$
Less: Depreciation	$
Net profits before taxes	$
Taxes	$
Net profits after taxes	$
Operating cash flows	$

Incremental operating cash inflowsExpense reduction Miller Corporation is considering replacing a machine. The replacement will reduce operating expenses (that is increase earnings before depreciation, interest, and taxes) by $15,000 per year for each of the 5 years the new machine is expected to last. Although the old machine has zero book value, it can be used for 5 more years. The depreciable value of the new machine is $43,000. The firm will depreciate the machine under MACRS using a 5-year recovery 5 and is subject to a 40% tax rate. Estimate the incremental operating cash inflows generated by the replacement. (Note: Be sure to consider the depreciation in year 6.) Find the incremental operating cash inflows generated by the replacement for year 1 below: (Round to Data Table Year 1 Incremental expense savings $ 15,000 (Click on the icon here in order to copy the contents of the data table below into a spreadsheet.) $ $ 3 years 10 years Incremental profits before depreciation and taxes Less: Depreciation Net profits before taxes Taxes Net profits after taxes $ $ Rounded Depreciation Percentages by Recovery Year Using MACRS for First Four Property Classes Percentage by recovery year* Recovery year 5 years 7 years 1 33% 20% 14% 10% 2 45% 32% 25% 18% 3 15% 19% 18% 14% 4 7% 12% 12% 12% 5 12% 9% 9% 6 5% 9% 8% 7 9% 7% 8 4% 6% 9 6% 10 6% 11 4% Totals 100% 100% 100% 100% *These percentages have been rounded to the nearest whole percent to simplify calculations while $ Operating cash flows Find the incremental operating cash inflows generated by the replacement for year 2 below: (Round to Enter any number in the edit fields and then continue to the next