The Baker Company purchased a piece of equipment with the following expected results: (Ignore income taxes.)

Useful life	5 years
Yearly net cash inflow	$50,000
Salvage value	$0
Internal rate of return	15%
Discount rate	11%

Click here to view Exhibit 13B-2 to determine the appropriate discount factor(s) using tables.

The initial cost of the equipment was: (Round discount factor(s) to 3 decimal places, intermediate and final answers to the nearest dollar amount.)

$200,100

Cannot be determined from the given information.

$167,600

$177,950