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A bottle filling machine costs $1.200.000. This cost could be depreciated at 30% per year (Class 43). The monitor would actually be worth $100.000 in

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A bottle filling machine costs $1.200.000. This cost could be depreciated at 30% per year (Class 43). The monitor would actually be worth $100.000 in seven years. The new bottle filling machine would save $356.000 per year before taxes and operating costs. Suppose the new monitor requires us to increase net working capital by S47,200 when we buy it. If we require a 15% return, what is the NPV of the purchase? Assume a tax rate of 40%. (Do not round intermediate calculations. Round the final answer to 2 decimal places. Omit $ sign in your response.)

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