Winthrop Company has an opportunity to manufacture and sell a new product for a five-year period. To pursue this opportunity, the company would need to purchase a piece of equipment for $130,000. The equipment would have a useful life of five years and zero salvage value. It would be depreciated for financial reporting and tax purposes using the straight-line method. After careful study, Winthrop estimated the following annual costs and revenues for the new product:

Annual revenues and costs:

Sales revenues $ 250,000

Variable expenses $ 120,000

Fixed out-of-pocket operating costs $ 70,000

The companys tax rate is 30% and its after-tax cost of capital is 15%.

Click here to view Exhibit 13B-1 and Exhibit 13B-2, to determine the appropriate discount factor(s) using tables.

Required:

Calculate the net present value of this investment opportunity. (Round discount factor(s) to 3 decimal places. Round your final answer to nearest whole dollar.)