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Oakmont Company has an opportunity to manufacture and sell a new product for a four-year period. The company's discount rate is 16% After careful study.

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Oakmont Company has an opportunity to manufacture and sell a new product for a four-year period. The company's discount rate is 16% After careful study. Oakmont estimated the following costs and revenues for the new product $170,000 68,000 $ 12,000 Cost of equipment needed Working capital needed Overhaul of the equipment in year two Salvage value of the equipment in four years 16,009 Annual revenues and costs: Sales revenues Variable expenses Fixed out-of-pocket operating costs $330,000 $160,000 78,000 When the project concludes in four years the working capital will be released for investment elsewhere within the company Click here to view Exhibit 138-1 and Exhibit 138-2, to determine the appropriate discount faclorts) using tables Required: Calculate the net present value of this investment opportunity (Round your final answer to the nearest whole dolier amount)

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