Homer Corp is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in net income after tax of $165,000. The equipment will have an initial cost of $476,000 and have a 5 year life. If the salvage value of the equipment is estimated to be $151,000, what is the annual net cash flow?

$14,000

$100,000

$316,000

$230,000