A firm anticipates that if it spends $16,000 on a machine today its profit will increase by $6,000 for each of the next four years. Assuming the interest rate is 5%, what is the net present value if it makes this purchase? Round your final answer to the nearest dollar.

Group of answer choices

$6,891

$5,276

None of the answers listed is correct.

$4,859

$7,249