What is the npv of project

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A division of Carla Vista Manufacturing is considering purchasing for $1,710,000 a machine that automates the process of inserting electronic components onto computer motherboards. The annual cost of operating the machine will be $57,000, but it will save the company $422,000 in labor costs each year. The machine will have a useful life of 10 years, and its salvage value in 10 years is estimated to be $342,000. Straight-line depreciation will be used in calculating taxes for this project, and the marginal corporate tax rate is 32 percent. If the appropriate discount rate is 12 percent, what is the NPV of this project? (Do not round discount factor. Round intermediate calculations and final answer to the nearest whole dollar, e.g. 5,275.)

NPV of the project $___________

Reference no: EM132134770

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