Problem 10-21 Cost-Cutting Proposals [LO2] Masters Machine Shop is considering a four-year project to improve its production efficiency. Buying anew machine press for $435.000 is estimated to result in $175,000 in annual pretax costsavings. The press falls in the MACRS five-year class, and it will have a salvage value at the end of the project of $71,000. The press also requires an initial investment in spare parts inventory of $30,000, along with an additional $3,600 in inventory for each succeeding year of the project. The shop's tax rate is 25 percent and its discount rate is 12 percent. (MACRS schedule) Calculate the NPV of this project. Do not rouncl Intermecllate cakulatlons ancl rouncl your amwer to 2 clecImal places, eg. 3216.) NPV Should the company buy and install the machine press? Yes No