Doohan's machine shop is considering a 4 year project to improve its production efficiency. Buying a new machine press for $450,000 is estimated to result in $150,000 in annual pretax cost savings. The press is a Class 8 asset (20% CCA rate) and it will have a salvage value of $75,000 at the end of the project. The press requires an initial investment in spare parts inventory of $22,000 plus an additional $2,000 in inventory each year for the next three years of the project. All working capital will be recovered at the end of the project. If the firm's tax rate is 36% and it uses an 18% discount rate, what is the NPV?

This question uses the half-year rule.