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Sheffield Pix currently uses a six-year-old  molding machine to manufacture silver picture frames. The company paid  $105,000 for the machine, which was state of the art at the time of  purchase. Although the machine will likely last another ten years, it  will need a $11,000 overhaul in four years. More important, it does not  provide enough capacity to meet customer demand. The company currently  produces and sells 15,000 frames per year, generating a total  contribution margin of $102,000. Martson Molders currently sells a  molding machine that will allow Sheffield Pix to increase production  and sales to 20,000 frames per year. The machine, which has a ten-year  life, sells for $140,000 and would cost $15,000 per year to operate.  Sheffield Pix’s current machine costs only $8,000 per year to operate.  If Sheffield Pix purchases the new machine, the old machine could be  sold at its book value of $5,000. The new machine is expected to have a  salvage value of $20,000 at the end of its ten-year life. Sheffield Pix  uses straight-line depreciation. a) Calculate the new machine’s net present value assuming a 16% discount rate. b) Use Excel or a similar spreadsheet application to calculate the new machine’s internal rate of return. c) What is the new machine’s payback period?