Barton Company can acquire a $850,000 machine now that will benefit the firm over the next 6 years.

FV of 1 (i = 5%, n = 6):	1.340
FV of a series of $1 cash flows (i = 5%, n = 6):	6.802
PV of $1 (i = 5%; n = 6):	0.746
PV of a series of $1 cash flows (i = 5%, n = 6):	5.076

Annual savings in cash operating costs are expected to total $160,000. If the hurdle rate is 5%, the investment's net present value is:

Multiple Choice

$(151,800).

$(37,840).

$77,390.

$154,920.

None of the answers is correct.