One year​ ago, your company purchased a machine used in manufacturing for $115,000. You have learned that a new machine is available that offers many advantages and that you can purchase it for $150,000 today. The CCA rate applicable to both machines is 20%​; neither machine will have any​ long-term salvage value. You expect that the new machine will produce earnings before​ interest, taxes,​ depreciation, and amortization ​(EBITDA​) of $60,000 per year for the next ten years. The current machine is expected to produce EBITDA of $20,000 per year. All other expenses of the two machines are identical. The market value today of the current machine is $50,000. Your​ company's tax rate is 40%​, and the opportunity cost of capital for this type of equipment is 12%. Should your company replace its​ year-old machine?
What is the NPV of​ replacement?