Benjamin Box Corporation is considering adding another machine for the manufacture of corrugated cardboard. The machine would cost 709,100.

It would have an estimated life of 6 years and no salvage value.

The company estimates that annual cash inflows would increase by 301,100 and that annual cash outflows would increase by 138,200.

Management believes a discount factor of 9%.

(a) Calculate the present value on this project.

(b) Calculate the net present value on this project, and discuss whether it should be accepted.

show all your calculation.