Assume that a company is considering purchasing a machine for $50,000 that will have a five-year useful life and a $5,000 salvage value. The machine will lower operating costs by $16,000 per year. The companys required rate of return is 17%. The net present value of this investment is closest to:

Click here to view Exhibit 12B-1 and Exhibit 12B-2, to determine the appropriate discount factor(s) using the tables provided.

A. $1,184

B. $5,854

C. $16,914

D. $3,464