Flatte Restaurant is considering the purchase of a $11,000 souffl maker. The souffl maker has an economic life of four years and will be fully depreciated by the straight-line method. The machine will produce 2,500 souffls per year, with each costing $2.90 to make and priced at $5.75. Assume that the discount rate is 16 percent and the tax rate is 34 percent.

What is the NPV of the project?(Do not round intermediate calculations andround your answer to 2 decimal places, e.g., 32.16.)

NPV

$

Should the company make the purchase?

No

Yes