In Eight Years, Shu Company Plans to Receive $11,000 Cash

In eight years, Shu Company plans to receive $11,000 cash from the sale of a machine that has a $16,000 book value.

If the firm is subject to a 30% income tax rate and has a 12% after-tax hurdle rate, the correct discounted net cash flow would be:

A) $606.
B) $1,414.
C) $3,838.
D) $5,050.
E) None of the answers is correct.