Your company has an opportunity to manufacture and sell a new product for a four-year period. the company's discount rate is 15%. After careful study, the following costs and revenues for the new product were estimated:

Cost of equipment neede R130,000

Working capital needed R60,000

Overhaul of the new equipment in two years R8,000

Salvage value of the equipment in four years R12,000

Annual revenues and costs:

Sales revenues R250,000

Variable expenses R120,000

Fixed out-of-pocket operating costs R70,000

When the project concludes in four years the working capital will be released for investment elsewhere within the company.

Required:

Calculate the net present value of this investment opportunity.