Oakmont Company has an opportunity to manufacture and sell a new product for a four-year period. The companys discount rate is 18%. After careful study, Oakmont estimated the following costs and revenues for the new product:

Cost of equipment needed		$	220,000
Working capital needed		$	70,000
Overhaul of the equipment in two years		$	6,000
Salvage value of the equipment in four years		$	17,000
Annual revenues and costs:
Sales revenues		$	350,000
Variable expenses		$	170,000
Fixed out-of-pocket operating costs		$	80,000

When the project concludes in four years the working capital will be released for investment elsewhere within the company.

A. Calculate the net present value of this investment opportunity: