Boston Company Is Contemplating the Purchase of a New Machine

Boston Company is contemplating the purchase of a new machine on which the following information has been gathered: $\begin{array} { l l } \text { Cost of the Machine } & \$ 38,900 \\\text { Annual Cash Inflows Expected } & \$ 10,000 \\\text { Salvage Value } & \$ 5,000 \\\text { Life of the Machine } & 6 \text { years }\end{array}$ The company's discount rate is 16%,and the machine will be depreciated using the straight-line method.Given these data,what is the net present value of the machine? (Ignore income taxes in this problem.)

A) ($26,100) .
B) ($23,900) .
C) $0.
D) $26,100.