You are buying a machine for $1 million. You forecast it will produce $200,000 in revenue with operating costs of $100,000. The machine qualifies as a 5-year MACRS asset. You expect to use this machine for five years, at which time you expect to sell it for $400,000. The marginal tax rate is 30%.The cash flows in the second year of operations is closest to:

+$166,000

+$420,000

$0

-$154,000