One of X Company's production machines was badly damaged recently. Unfortunately, the machine was purchased just two years earlier for $45,000. The company must either repair the machine or purchase a new machine. The estimated cost of repairing the machine is $24,000, after which operating costs will be $68,000 a year. It will also require a maintenance check in the third year that is estimated to cost $2,500.

A new machine will cost $83,000, but it will be more efficient than the repaired machine, with annual operating cost savings of $16,000.

Both the repaired machine and the new machine will last for six years, at which time the repaired one would be worthless, and new one would be worth $6,000. If it is not repaired, the damaged machine can be sold immediately for $4,000.

Assuming a discount rate of 5%, what is the net present value of repairing the damaged machine instead of buying the new machine? [Use the present value tables in the Coursepack.]

A: $-22,657

B: $-32,852

C: $-47,635

D: $-69,071

E: $-100,153

F: $-145,222