Use the Information Below to Answer the Following Question(s)

Use the information below to answer the following question(s) .Hawkeye Cleaners has been considering the purchase of an industrial dry-cleaning machine.The existing machine is operable for three more years and will have a zero disposal price.If the machine is disposed of now, it may be sold for $30,000.The new machine will cost $200,000, an additional cash investment in working capital of $60,000 will be required and will be returned at the end of the project.The machine is expected to last 3 years and has an estimated disposal value at that time of $20,000.The new machine will reduce the average amount of time required to wash clothing and will decrease labour costs.The investment is expected to net $50,000 in additional cash inflows during the year of acquisition and $150,000 each additional year of use.These cash flows will generally occur throughout the year and are recognized at the end of each year.Income taxes are not considered in this problem.
-Wagner Ltd.is considering investing in a new piece of equipment for its factory.It estimates that annual cash flows would be $17,000 and the equipment would last for 8 years.The company's required rate of return is 12%.What is the most that the company should be willing to invest in this equipment? (Ignore income taxes.)

A) $84,450
B) $136,000
C) $61,280
D) $128,115
E) $94,580