Brodigan Corporation has provided the following information concerning a capital budgeting project:

Investment required in equipment $450,000

Net annual operating cash inflow 220,000

Tax rate 30%

After -tax discount rate 12%

The expected life of the project and equipment is 3 years. The equipment has zero salvage value. The company uses straight line depreciation and the depreciation expense on the equipment would be $150,000 per year. Assume cash flows occur at the end of the year except for initial investments, and takes income taxes into account in its capital budgeting.

Required:

What is the net present value of the project. Show your work.