X Corp. is considering a new project which will have costs, revenues, etc. as shown by the table below.

To carry out the project, X Corp. has to buy (at year 0) new equipment worth $600,000, which will be depreciated by straight-line over three years (assume there is no salvage value).

If the Net Working Capital at year 0 is $0, the cost of capital is 8.0%, and the average tax rate is 25%, the marginal tax rate is 35%, what is the net present value (NPV) of this project?

                           Year 1                      Year 2                                 Year 3

Revenues               700.000                    700,000                             700,000

COGS                    300.000                    300,000                             300,000

Expenses               100,000                    100,000                             100,000

Net Working Cap.       0                        30,000                                   0