Crazy dog Computers, Inc. is considering investing in a

machine to produce computer keyboards. The price of the machine is $400,000 and its

useful life is five years, after which it will have no resale value. The machine is

depreciated with by straight line depreciation over 5 years. The machine will produce

10,000 keyboards each year. The sale price of each keyboard will be $40 in the first year

and will increase by 5% per year. The production cost per keyboard will be $20 in the

first year and will increase by 10% per year. No working capital will be needed. The

corporate tax rate for the company is 34%. The appropriate nominal discount rate is 15%.

What is the NPV of the investment?

Please answer question in a table form

0 1 N 3 4 5