A company is planning on expanding its product line, which requires investment of $475,200 in a water-bed machinery. The machinery has a useful life of six years and no salvage value. The estimated annual results of offering the new products are as follows:

revenue $528000

expenses (including straight line depreciation ) 501600

increase in net income $26400

All revenue from the new products and all expenses (except depreciation) will be received or paid in cash in the same period as recognized for accounting purposes.

What is the present value of this investment using a discount rate of 12% (an annuity table shows the present value of $1 received annually for six years discounted at 12% is 4.111

a. -$105,600

b. -$41,078

c. $369,600

d. $434,121