You are tasked with evaluating the purchase of a super computer for the control room.

The total initial investment (purchase, modification and investment in net operating working capital) will be $600,000.

The machine will result in operating cash flow of $240,000 per year for three years.

When the machine is sold at time period three the net sale price will be $180,000. The firm will also recover the investment in net working capital of $18,260.

What is the net present value of the investment if the required return is 12%?