TheBlue SpruceCompany is planning to purchase $450,000of equipment with an estimated7-year life and no estimated salvage value. The company has projected the following annual cash flows for the investment:

Year

Projected Cash Flows

1

$201,0002

135,0003

123,0004

54,3005

67,8006

43,1007

47,600Total

$671,800

Click here to view the factor table.

https://education.wiley.com/content/Davis_Managerial_Accounting_4e/media/simulations/pv_tables/Tables_App_9-1_9-2.pdf

Calculate the net present value of the proposed equipment purchase.Blue Spruceuses a6% discount rate.(For calculation purposes, use 4 decimal places as displayed in the factor table provided and round final answer to 0 decimal place, e.g. 58,971.)

Net present value$

enter the net present value in dollars rounded to 0 decimal places