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Please advise answer below. A firm is considering purchasing a machine that costs $54,000. It will be used for six years, and the salvage value

Please advise answer below.

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A firm is considering purchasing a machine that costs $54,000. It will be used for six years, and the salvage value at that time is expected to be zero. The machine will save $45,000 per year in labor, but it will incur $10,000 in operating and maintenance costs each year. The machine will be depreciated according to five-year MACRS. The firm's tax rate is 35%, and its after-tax MARR is 14%. Should the machine be purchased? Click the icon to view the MACRS depreciation schedules. Click the icon to view the interest factors for discrete compounding when i = 14% per year. The present worth of the project is $ (Round to the nearest dollar.) . X More Info Year n Depreciation rate 200% 200% 200% 200% 150% 150% 1 2 33.33 44.45 14.81 7.41 20.00 32.00 19.20 11.52 11.52 5.76 14.29 24.49 17.49 12.49 10.00 18.00 14.40 11.52 3 4 5 8.93 9.22 7.37 6 7 8.92 8.93 4.46 8 5.00 9.50 8.55 7.70 6.93 6.23 5.90 5.90 5.91 5.90 5.91 5.90 5.91 5.90 5.91 2.95 6.55 6.55 6.56 6.55 3.28 9 10 11 3.750 7.219 6.677 6.177 5.713 5.285 4.888 4.522 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 4.462 4.461 2.231 12 13 14 15 16 17 18 19 20 21 Year to switch from declining balance to straight line Print Done More Info - X N 1 Single Payment Compound Present Amount Worth Factor Factor (F/P, i, N) (P/F, i, N) 1.1400 0.8772 1.2996 0.7695 1.4815 0.6750 1.6890 0.5921 1.9254 0.5194 Compound Amount Factor (F/A, I, N) 1.0000 2.1400 3.4396 4.9211 6.6101 Equal Payment Series Sinking Present Fund Worth Factor Factor (A/F, I, N) (P/A, I, N) 1.0000 0.8772 0.4673 1.6467 0.2907 2.3216 0.2032 2.9137 0.1513 3.4331 Capital Recovery Factor (A/P, i, N) 1.1400 0.6073 0.4307 0.3432 2 3 4 0.2913 6 3.8887 4.2883 7 8 2.1950 2.5023 2.8526 3.2519 3.7072 0.4556 0.3996 0.3506 0.3075 0.2697 8.5355 10.7305 13.2328 16.0853 19.3373 0.1172 0.0932 0.0756 0.0622 0.0517 4.6389 0.2572 0.2332 0.2156 0.2022 0.1917 9 4.9464 5.2161 10 Print Done Done

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