Rambus Inc (1)Using the Present Value Factors for $1,calculate the Net Present

Rambus Inc.would like to purchase a production machine for $325,000.The machine is expected to have a life of three years,and a salvage value of $50,000.Annual maintenance costs will total $12,500.Annual savings are predicted to be $112,500.The company's required rate of return is 12 percent.
$$\begin{array}{l}\text { Factors: Present Value of } \$ 1\\\begin{array} { c c } { ( \mathbf { r = 1 2 \% ) } } \\\hline \text { Year 0 } & 1.0000 \\\text { Year 1 } & 0.8929 \\\text { Year 2 } & 0.7972 \\\text { Year 3 } & 07118\end{array}\end{array}$$
(1)Using the Present Value Factors for $1,calculate the net present value of this investment (ignoring taxes).
(2)Based on your answer in requirement 1,should Rambus purchase the production machine?