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Starset Machine Shop is considering a 4-year project to improveits production efficiency. Buying a new machine press for $455,000is estimated to result in $187,000 in annual pretax cost savings.The press falls in the 5-year MACRS class, and it will have asalvage value at the end of the project of $75,000. The press alsorequires an initial investment in spare parts inventory of $34,000,along with an additional $3,800 in inventory for each succeedingyear of the project. The shop’s tax rate is 24 percent and itsdiscount rate is 9 percent. (MACRS schedule)NPV:Calculate the NPV of this project. (Do not roundintermediate calculations and round your answer to 2 decimalplaces, e.g., 32.16.)Should the company buy and install the machine press?YesNo