Lanyard Company Is Considering an Investment That Will Generate $600,000 $( r = 18 \% )$

Lanyard Company is considering an investment that will generate $600,000 in cash inflows per year for 7 years and has $240,000 of cash outflows for the same period (before income taxes) .The cost of the asset is $700,000 and it will be depreciated using straight-line depreciation over the 7 year life.The asset has no salvage value.Lanyard's tax rate is 40%.The cost of capital is 18%.
Factors: Present Value af an Annuity $( r = 18 \% )$
$\begin{array} { l l } \text { Year 1 } & 0.8475 \\ \text { Year 2 } & 1.5656 \\ \text { Year 3 } & 2.1743 \\ \text { Year 4 } & 2.6901 \\ \text { Year 5 } & 3.1272 \\ \text { Year 6 } & 3.4976 \\ \text { Year 7 } & 3.8115 \end{array}$
What is the net present value of this investment (rounded to the nearest dollar) ?

A) $275,744
B) ($105,406)
C) $504,434
D) $123,284
E) None of the answer choices is correct.