Rocco Manufacturing Is Considering Following Two Investment Proposals Compute the Present Value of the Future Cash Inflows from \text

Rocco Manufacturing is considering following two investment proposals: $\begin{array}{|l|r|r|} \hline& \text { Proposal } X & {\text { Proposal } Y} \\\hline \text { Investment } & \$ 740,000 & \$ 508,000 \\\hline \text { Useful life } & 5 \text { years } & 4 \text { years } \\\hline \text { Estimated annual net cash inflows received } \\\text { at the end of each year }&\$154,000&\$92,000\\\hline \text { Residual value } & \$ 66,000 & \$ 0 \\\hline \text { Aneciation method } & \text { Straight-line } & \text { Straight-line } \\\hline \text { Antiscount rate } & 10 \% & 9 \%\\\hline\end{array}$ Compute the present value of the future cash inflows from Proposal X.
Present value of an ordinary annuity of $1:
$$\begin{array} { | c | r | r | r | } \hline & 8 \% & 9 \% & 10 \% \\\hline 1 & 0.926 & 0.917 & 0.909 \\\hline 2 & 1.783 & 1.759 & 1.736 \\\hline 3 & 2.577 & 2.531 & 2.487 \\\hline 4 & 3.312 & 3.240 & 3.170 \\\hline 5 & 3.993 & 3.890 & 3.791 \\\hline 6 & 4.623 & 4.486 & 4.355 \\\hline\end{array}$$ Present value of $1:
$$\begin{array} { | c | r | r | r | } \hline & 8 \% & 9 \% & 10 \% \\\hline 1 & 0.926 & 0.917 & 0.909 \\\hline 2 & 0.857 & 0.842 & 0.826 \\\hline 3 & 0.794 & 0.772 & 0.751 \\\hline 4 & 0.735 & 0.708 & 0.683 \\\hline 5 & 0.681 & 0.650 & 0.621 \\\hline 6 & 0.630 & 0.596 & 0.564 \\\hline\end{array}$$

A) $762,136
B) $668,128
C) $583,814
D) $624,800