Phoenix Electronics is evaluating the purchase of a new circuit board manufacturing machine. The current machine is operable for another year and can be sold for $15,000. The new machine costs $300,000 and requires an additional $70,000 in working capital. It will generate $100,000 in cash inflows during the first year and increase by $20,000 annually over the next three years. The new machine has a four-year life and zero disposal value.

• Calculate the NPV assuming a 10% discount rate.
• Assess the financial desirability of the new machine purchase.