St. Johns River Shipyards is considering the replacement of an

8-year-old riveting machine with a new one that will increase

earnings before depreciation from $30,000 to $56,000 per year. The new machine will cost $80.000, and it will have an estimated life of 8 vears and no salvage value. The new riveting machine is elgible for 100% bonus depreciation at the time of purchase. The applicable corporate tax rate is 25%, and the firm WACC is 10%. The old machine has been fully depreciated and has no salvage value.

What is the NPV of the protect? Negative value, if any should be indicated by a minus sign. Round your answer to the nearest cent.

should the old riveting machine be replaced by the new one?

tat sen faly deprecited and tht is savage value