Ratron company is considering a new more efficient production system with an installed cost of $735,000. The cost of the system will be depreciated straight line to zero over the projects 5 year life, at the end of which it will have a $0 salvage value. The system is expected to save the firm $200,000 per year in pretax operating costs. If the tax rate is 34% and the discount rate is 8% what is the NPV of this project? Show your work.