Your company is considering replacing a piece of old equipment with a piece of new equipment. Details for both are given below: Old Equipment Current book value Current market value Remaining life Annual sales Cash operating expenses Annual depreciation Accounting salvage value Expected salvage value after 10 years New Equipment $1,500,000 $2,500,000Acquisition cost 10 years Life $350,000 Annual sales $140,000 Cash operating expenses $180,000 Annual depreciation S0 $6,200,000 10 years $850,000 $500,000 $620,000 S0 Accounting salvage value Expected salvage value after 10 years $240,000 $750,000 - The new equipment will require an additional investment of $250,000 in working capital -The tax rate is 35% Your company's net investment outlay to replace the old equipment is closest to: A) $3,300,000 B) $3,950,000 C) $4,300,000 D) $5,200,000 E) $6,450,000