Dog Up! Franks is looking at a new sausage system with an installed cost of $670,000. This cost will be depreciated straight-line to zero over the projects five-year life, at the end of which the sausage system can be scrapped for $85,000. The sausage system will save the firm $180,000 per year in pretax operating costs, and the system requires an initial investment in net working capital of $43,000. If the tax rate is 21 percent and the discount rate is 6 percent, what is the NPV of this project?

Select one:

A. $101,718.85

B. $82,510.63

C. $78,900.61

D. $87,106.08

E. $99,702.44