The management of Tony Corporation is considering the purchase of a new machine costing $400,000. No residual value is expected. The company's desired rate of return is 10%. The present value factors for $1 at compound interest of 10% for 1 through 5 years are 0.909, 0.826, 0.751, 0.683, and 0.621, respectively.

In addition to the foregoing information the following data is available.

Income fromNet Cash

YearOperationsFlow

1$100,000$180,000

240,000120,000

320,000100,000

410,00090,000

510,00090,000

The net present value for this investment is:

A. positive $55,200

B. Negative $99,600

C.positive $36,400

D.Negative $126,800