25. Afirm is considering the purchase of a $300,000 machine for its business. The machine is expected to increase sales by $230,000. The machine will have a 5 year useful life and will be depreciated over 5 years via the straight line method. There is no salvage value. The firm has a required rate of return of 10% for all new capital investments. The project's annual pro forma income statement for the next 5 years is shown below: Sales $230,000 Total Costs 137,000 Depreciation 60,000 Earnings before Taxes $33,000 Taxes 11,220 Net Income $21,780 The firm should: Accept the project because the NPV is positive $2,543 Accept the project because the NPV is positive $10,011 Reject the project because the NPV is negative $174,905 Reject the project because the NPV is negative $217,437 It doesnt matter since the NPV = 0 Cant tell because there isnt enough information