Hammer Corporation wants to purchase a new machine for $306,000 Management predicts that the machine will produce sales of $203,000 each year for the next 5 years. Expenses are expected to include direct materials, direct labor and factory overhead (excluding depreciation) totaling $76,000 per year The firm uses straight-line depreciation with an assumed residual (salvage) value of $50,000, Hammer's combined income tax rate, t, is 30% Management requires a minimum after-tax rate of return of 10% on all investments What is the estimated net present Value (NPV) of the proposed investment (rounded to the nearest hundred dollars)? (The PV annuity factor for 10%, 5 years, is 3.791 and for 4 years it is 3:17. The present value S1 factor for 10%. 5 years, is 0.621) Assume that after tax cash inflows occur at year-end Multiple Choice O $89,300 O $120,300 O $139,500 $152,500 O $110,500