Bauerkemper Inc. is considering a project that would require an initial investment of $924,000 and would have a useful life of 7 years. The annual net cash receipts would be $346,000. The salvage value of the assets used in the project would be $92,000. The company's tax rate is 30%. For tax purposes, the entire initial investment without any reduction for salvage value will be depreciated over 7 years. The company uses a discount rate of 17%.
Required:Compute the net present value of the project by inputting the variables that are entered into your calculator / Excel. (If a variable is not used in the calculation, input a zero (0). Omit the "tiny_mce_markerquot; and "%" signs in your response.) Round answers to the nearest dollar and use a minus sign ( - ) for negative numbers.