Given the following information concerning a four-year planning horizon for a particular ERP system implementation:

Licensing rights for all four (4) years - $400,000

Application server and database server purchase - $75,000 (four-year expected life)

Computer purchases and upgrades - $28,000 (one-time charge)

Maintenance contract for computers and servers -- $5,500 per year

Training - $10,000 for the first year, $5000 for the remaining three years

Consulting - Free for the first 6 months then $12,000 per year (prorated for partial years)

New hire - Database/ERP system administrator at $200,000 annual salary (includes benefits)

Suppose the total costs for ERP system implementation over the four year planning horizon is $1,440,000. It would be better to use SaaS to contract out ALL of the above expenses for a convenient monthly fee as long as that fee was less than:

A. not enough information to determine

B. $25,000

C. $12,000

D. $30,000

E. $48,000