You invest in a widget-making machine today, and the machine will have a residual value of $40,000 at the end of four years. Excluding the residual value, the machine will generate cash inflows of $30,000 at the end of each of the next four years.

(T or F) If the net present value (NPV) is $2,416, and the discount rate is 10%, then the approximate amount of the initial investment is $120,000.