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The Campbell Company is considering adding a robotic paint sprayer to its production line. The sprayer's base price is $900,000, and it would cost another

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The Campbell Company is considering adding a robotic paint sprayer to its production line. The sprayer's base price is $900,000, and it would cost another $22,500 to install it. The machine falls into the MACRS 3-year class, and it would be sold after 3 years for $504,000. The MACRS rates for the first three years are 0.3333, 0.4445, and 0.1481. The machine would require an increase in net working capital (inventory) of $12,500. The sprayer would not change revenues, but it is expected to save the firm $325,000 per year in before-tax operating costs, mainly labor. Campbell's marginal tax rate is 25%. The cost of capital is 12%. What is the NPV of this potential project? Do not round intermediate calculations. Round your final answer to the nearest dollar. *NOTE...depending on your rounding procedures, you might 'miss' MY version of the right answer by a few dollars (probably less than $100..maybe more like a few dollars). So in this case, you may (no guarantees) select the "close' answer below. O $211,503 O $80,227 O $407,589 O $304,812 O $115,226

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