You are considering adding a new item to your companys line of products. The machine required to manufacture the item costs $7000 and it depreciates straight-line over 4 years. The new item would require a $500 increase in inventory and a $300 increase in accounts payable. You plan to market the items for three years and then sell the machine for $400. You expect to sell 1300 items per year at a price of $4.50. You expect manufacturing costs to be $1.25 per item. If the tax rate is 35% and your weighted average cost of capital is 11% per year, what is the net present value of selling the new item?