Your company is contemplating the purchase of a large stamping machine. The machine will cost $191,000. With additional transportation and installation costs of $6,000 and $8,000, respectively, the cost basis for depreciation purposes is $205,000. Its MV at the end of five years is estimated as $35,000. The IRS has assured you that this machine will fall under a three year MACRS class life category. The justifications for this machine include $38,000 savings per year in labor and $29,000 savings per year in reduced materials. The before-tax MARR is 18% per year, and the effective income tax rate is 44%. What is the taxable income for year three? Click the icon to view the GDS Recovery Rates (r) for the 3-year property class. Choose the nearest answer below. O A. The taxable income for year three is $15,191. OB. The taxable income for year three is $67,000 O C. The taxable income for year three is $30,361. OD. The taxable income for year three is $38,713 O E. The taxable income for year three is $36,640