Canadair has been making low$-$volume parts for its line of regional passenger jets using a computerized lathe system. The company is considering replacing this expensive tool with an industrial $3-$D printer. The lathe was purchased five years ago for $$1,000,000$ and was being depreciated straight$-$line over its $10-$year life. It currently has a value of $$300,000,$ but is expected to have no salvage value at the end of its life. The new $3-$D printer has a cost of $$800,000$ and a useful life of $5$ years. It will be depreciated straight$-$line over its five$-$year life. At the end of five years, it is expected to be obsolete and will have no salvage value. The new printer will not affect revenue, but is expected to reduce production costs by $$150,000$ per year. Canadair's required rate of return is $12\%$ and their marginal tax rate is $35\%.$ What is the NPV of replacing the lathes? USE THE TEMPLATE

$NPV=-$$$2,834\mathrm{.}02$