Markepta, Inc. is considering the acquisition of Management Theories, Inc. at a cash price of $1.5 million. Crimson Services, Inc. has short-term liabilities of $500,000. As a result of acquiring Crimson Services, Inc., Markepta, Inc. would acquire the copyrights of a national best-seller which would provide an estimated cash flow of $300,000 for the next five years. The firm has a cost of capital of 20 percent. The approximate net present value of this acquisition is ________.

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The Answer of Markepta, Inc. is considering the acquisition of Management Theories, Inc. at a cash price of $1.5 million. Crimson Services, Inc. has short-term liabilities of $500,000. As a result of acquiring Crimson Services, Inc., Markepta, Inc. would acquire the copyrights of a national best-seller which would provide an estimated cash flow of $300,000 for the next five years. The firm has a cost of capital of 20 percent. The approximate net present value of this acquisition is ________.