Paul Restaurant is considering the purchase of a $10,800 souffl maker. The souffl maker has an economic life of 8 years and will be fully depreciated by the straight-line method. The machine will produce 1,300 souffls per year, with each costing $2.50 to make and priced at $4.90. The discount rate is 9 percent and the tax rate is 22 percent.

What is the NPV of the project? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Should the company make the purchase?

• Yes

• No