1. A manufacturing company purchased a material handling system from a cost of $80,000, in year zero. The company expects to use the asset for 7 years and then sell it (at the end of year 7) on the market at $15,000. Accounting information establishes that the asset can be depreciated using the method maximum percentage, with a fiscal useful life of 10 years. The company expects incremental revenue of $120,000 in year 1, then sees from year 2 a increase in these revenues of 5% per year with respect to the previous year. Similarly, production management estimates annual incremental operating costs of $40,000, during the 7 years of the project, as well as maintenance of $13,500 at the end of years 3, and year 6. Additionally, the company considers necessary the investment of a complementary team to support production for a total amount of $30,000 to be made at the end of the year 3. This equipment can be classified with a fiscal life of 7 years according to the maximum percentage method. In any case, if the company decides to liquidate this asset at any time, the supplier company has committed to paying an amount of $10,000 (regardless of seniority). Determine the net present value (NPV) of this project, considering a MARR equal to 15% per year and a rate of 35% taxes. The company plans to finance 75% of the investment cost of the first equipment (to be acquired in the year 0) with a 5-year bank loan that offers an effective annual compound rate of 12%. Meanwhile he rest of the investment will be provided by the company, while the second equipment (to be acquired in year 3) will be purchased 100% with company funds.