The Hub Store at a university in eastern Canada is considering purchasing a self serve checkout machine similar to those used in many grocery stores and other retail outlets. Currently the university pays part-time wages to students totalling $63,500 per year. A self-serve checkout machine would reduce part-time student wages by $43.500 per year. The machine would cost $410,000 and has a 10 year useful life. Total costs of operating the checkout machine would be $6.700 per year, including maintenance Major maintenance would be needed on the machine in five years at a total cost of $11.700 The salvage value of the checkout machine in 10 years would be $48,500. The CCA rate is 25% Management requires a 9% after-tax return on all equipment purchases. The company's tax rate is 30%, Required: 1. Determine the before tax net annual cost savings that the new checkout machine will provide Notanno cost saving 2.0. Using the data from (1) above and other data from the exercise, compute the checkout machines net present value. (Hit Us Microsoft Excel to calculate the discount factors.) (Do not round intermediate calculations and round your final answer to the nearest dollar amount. Negative value should be indicated with minus sign.) Notts Value 2.b. Would you recommend that the machine be purchased? s Proy