Cameron Industries is purchasing a new chemical vapor depositor in order to make silicon chips. It will cost $7,000,000 to buy the machine and $10,000 to have it delivered and installed. Building a clean room in the plant for the machine will cost an additional $3 million. The machine is expected to raise gross profits by $3,500,000 per year, starting at the end of the first year, with associated costs of $1 million for each of those years. The machine is expected to ha a working life of six years and will be depreciated over those six years. The marginal tax rate is 40%. What are the incremental free cash flows associated w the new machine in year 2?

A. $1,165,000 B. $1,168,333 C. $1,967,333 D. $1,331,667