The management of Penfold Corporation is considering the purchase of a machine that would cost $440,000, would last for 5 years, and would have no salvage value. The machine would reduce labor and other costs by $99,000 per year. The company requires a minimum pretax return of 13% on all investment projects.

Click here to view Exhibit 13B-1 and Exhibit 13B-2 to determine the appropriate discount factor(s) using the tables provided.

The net present value of the proposed project is closest to (Ignore income taxes.): (Round your intermediate calculations and final answer to the nearest whole dollar amount.)

Multiple Choice

$(91,817)

$(9,817)

$(136,343)

$(47,291)