Your friend in mechanical engineering has invented a money machine. The main drawback of the machine is that it is slow. It takes one year to manufacture

$400.

However, once built, the machine will last forever and will require no maintenance. The machine can be built immediately, but it will cost

$4,000

to build. Your friend wants to know if he should invest the money to construct it. If the interest rate is

6.5%

per year, what should your friend do?

The NPV of the machine is