Ignore income taxes in this problem.) Gull Inc. is considering the acquisition of equipment that costs $480,000 and has a useful life of 6 years with no salvage value. The incremental net cash flows that would be generated by the equipment are:

	Incremental net cash flows
Year 1	$144,000
Year 2	$194,000
Year 3	$155,000
Year 4	$164,000
Year 5	$154,000
Year 6	$134,000

Click here to view Exhibit 8B-1 to determine the appropriate discount factor(s) using tables.

If the discount rate is 18%, the net present value of the investment is closest to: (Round your final answer to the nearest dollar amount.)

$591,264

$77,157

$435,000

$136,705