Hercules Exercise Equipment Company purchased a computerized measuring device two years ago for $$84,000.$ The equipment falls into the five$-$year category for MACRS depreciation and can currently be sold for $$37,800.$ A new piece of equipment will cost $$205,000.$ It also falls into the five$-$year category for MACRS depreciation. Assume the new equipment would provide the following stream of added cost savings for the next six years. Use Table $1212.$ Use Appendix B for an approximate answer but calculate your final answer using the formula and financial calculator methods.

Year Cash Savings

$1$ $ $64,000$

$254,000$

$352,000$

$450,000$

$547,000$

$636,000$

The firm$$s tax rate is $25$ percent and the cost of capital is $10$ percent.

a$.$ What is the book value of the old equipment?

Note: Do not round intermediate calculations and round your answer to the nearest whole dollar.

b$.$ What is the tax loss on the sale of the old equipment?

Note: Do not round intermediate calculations and round your answer to the nearest whole dollar.

c$.$ What is the tax benefit from the sale?

Note: Do not round intermediate calculations and round your answer to the nearest whole dollar.

d$.$ What is the cash inflow from the sale of the old equipment?

Note: Do not round intermediate calculations and round your answer to the nearest whole dollar.