Strahn Foods is considering the purchase of a new bagging machine for $$35,890.$ The new machine will reduce direct labor

increasing contribution margin by $$3\mathrm{.}00$ per hour. he machine will operate $4,500$ hours per year and is expected to last three years.

What is the annual cash flow that would be discounted to calculate the net present value of this investment?

$$13,500$

$$40,500$

$$35,890$

None of the above.