J & J Enterprises is considering a cash acquisition of Patterson Steel Company for $5,300,000. Patterson will provide the following pattern of cash inflows and synergistic benefits for the next 20 years. There is no tax loss carryforward. Use Appendix D as an approximate answer, but calculate your final answer using the formula and financial calculator methods. Years 15 615 1620 Cash inflow (aftertax) $570,000 $730,000 $930,000 Synergistic benefits (aftertax) 53,000 73,000 83,000 The cost of capital for the acquiring firm is 11 percent. a. Compute the net present value. (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places.) b. Should the merger be undertaken? Yes No