The Spartan Technology Company has a proposed contract with the

Digital Systems Company of Michigan. The initial investment in land

and equipment will be $$240,000.$ Of this amount, $$190,000$ is subject

to five$-$year MACRS depreciation. The balance is in nondepreciable

property. The contract covers six years; at the end of six years,

the nondepreciable assets will be sold for $$50,000.$ The depreciated

assets will have zero resale value. Use$$Table $12-12.$

The contract will require an additional investment of $$54,000$ in

working capital at the beginning of the first year and, of this

amount, $$34,000$ will be returned to the Spartan Technology Company

after six years.

The investment will produce $$75,000$ in income before depreciation

and taxes for each of the six years. The corporation is in a $25$

percent tax bracket and has a $8$ percent cost of capital.

a$.$Calculate the net present

value.$($Do not round intermediate calculations and

round your answer to $2$ decimal places.$)$