Herky Foods is considering acquisition of a new wrapping machine. By purchasing the machine, Herky will save money on packaging in each of the next 5 years, producing the series of cash inflows shown in the following table:

Table:

year 1 cash inflow 624,000

year 2 cash inflow 585,000

year 3 cash inflow 468,000

year 4 cash inflow 546,000

year 5 cash inflow 312,000

The initial investment is estimated at $1.95 million. Using a 8% discount rate, determine the net present value (NPV) of the machine given its expected operating cash inflows. Based on the project's NPV, should Herky make this investment?

A. The net present value (NPV) of the new wrapping machine is $

B. Should Herky make investment?