A firm that purchases electricity from the local utility for $$200,000$ per year is considering installing a steam

generator at a cost of $$290,000.$ The cost of operating this generator would be $$150,000$ per year, and the

generator will last for five years. If the firm buys the generator, it does not need to purchase any electricity from the

local utility. The cost of capital is $9\%.$

For the local utility option, consider five years of electricity purchases. For the generator option, assume immediate

installation, with purchase and operating costs in the current year and operating costs continuing for the next four

years. Assume payments under both options at the start of each year $($i$.$e$.,$ immediate, one year from now,..., four

years from now$).$

What is the net present value of the more attractive choice?

Please round your answer to the nearest dollar. Report the NPV of cost as a negative number.