PC Shopping Network may upgrade its modem pool. It last upgraded 2 years ago, when it spent $135 million on equparient wath an assumed Iffe of 5 years and an assumed salvage value of $30 million for tax purposes. The firm uses straight line depreciation The oid equipment can be sold today for $100 million. A new modem pool can be installed foday for 5180 million. This wa have a 3 year ife and will be depreclated to zero using straight line depteciation. The new equipment will enable tief firm to increase sales by $23 million per year and decrease operating costs by \$11 milison per yeat. At the end of 3 years, the new equipment will be worthless: Assume the firm's tax rate is 30% and the discount rate for projects of this sort is 118 . Requited: a. What is the net cash flow at time 0 if the old equipment is replicedf? Note: Negotive omounts should be indicnted by a minus sign, Do not round intermediate calculations. Enter your nnswer in millions rounded to 2 decimal pleces. b. What are the incremental cash flows in years: (i) 1; (ii) 2; (iii) 3? Note: Do not round intermediote calculations. Enter your answer in millilons rounded to 2 decimal places. c. What is the NPV of the replacement project? Note: Do not round intermediote caleulations. Enter the NPV in millions rounded to 2 decimat places. d. What is the IRR of the replacement project? Note: Do not round intermediate calculotions. Enter the IRR as a pereent rounded to 2 decimal pinces