Mullen Company Is Considering Acquiring a New Machine for Its

Mullen Company is considering acquiring a new machine for its manufacturing facility. The machine is expected to generate annual operating cash inflows of $150,000 for four years and have a salvage value of $50,000 after four years. What is the most that Mullen should be willing to pay for the machine, assuming that Mullen's minimum rate of return is 12%? Note: Present value tables are needed.

A) $413,087
B) $487,350
C) $455,550
D) $580,357