(Ignore income taxes in this problem.) Five years ago, the City of Paranoya spent $30,000 to purchase a computerized radar system called W.A.S.T.E. (Watching Aliens Sent To Earth). Recently, a sales rep from W.A.S.T.E. Radar Company told the city manager about a new and improved radar system that can be purchased for $50,000. The rep also told the manager that the company would give the city $10,000 in trade on the old system. The new system will last 10 years. The old system will also last that long but only if a $4,000 upgrade is done in 5 years. The manager assembled the following information to use in the decision regarding which system is more desirable: Old System New System Cost of radar system....................... $30,000 $50,000 Current salvage value...................... $10,000 Salvage value in 10 years................. $5,000 $8,000 Annual operating costs.................... $34,000 $29,000 Upgrade required in 5 years............ $4,000 Discount rate................................... 14% 14% Required: a. What is the City of Paranoya's net present value for the decision described above? Use the total cost approach