Ostead Company Is Considering an Investment with the Following Data

Ostead Company is considering an investment with the following data:
Depreciation will be taken on a straight-line basis over the expected life of the investment.
$$\begin{array} { l r } \text { Initial cost } & \$ 200,000 \\\text { Annual net cash inflows } & \$ 25,000 \\\text { Expected life } & 10 \text { years } \\\text { Salvage value } & \text { none }\end{array}$$
-Refer to the Figure.The company requires a minimum rate of return of 4%.The present value of an annuity of $1 in arrears for 4% for 10 years is as follows: What is the net present value of the investment?
$\begin{array}{|c|c|c|c|c|c|c|c|c|c|c|}\hline \text { Period } & 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 & 9 & 10 \\\hline 4 \% & 0.962 & 1.886 & 2.775 & 3.630 & 4.452 & 5.242 & 6.002 & 6.773 & 7.435 & 8.111 \\\hline\end{array}$

A) ($81,830)
B) $2,775
C) $118,170
D) $202,775