Danielle Johnson has just inherited millions from her mother's estate. She is considering investing part of these funds in a small catering business. She would need to purchase a delivery van, equipment, and inventory costing $150,000 to equip the business. Danielle's marketing studies indicate that the annual net cash inflow from the business will amount to $36,000. Danielle wants to operate the catering business for only six years. She estimates that the equipment will have no value at the end of that time and that she will just retire and close down the business. Danielle's required rate of return is 8%.

Required: Compute the net present value of this investment. What would you advise Danielle based on your calculations?