A machine costing $2000 to buy and $300 per year to operate will save labor expenses of $650 per year for eight years. The machine will be purchased if its salvage value at the end of eight years is sufficiently large to make the investment economically attractive. If an interest rate of 10% is used, the minimum salvage value must be closest to

a) $100

b) $200

c) $300

d) $400