(Ignore Income Taxes in This Problem

(Ignore income taxes in this problem. ) The management of Mashiah Corporation is considering the purchase of a machine that would cost $290, 000, would last for 6 years, and would have no salvage value.The machine would reduce labor and other costs by $102, 000 per year.The company requires a minimum pretax return of 13% on all investment projects. The present value of the annual cost savings of $102, 000 is closest to:

A) $849, 012
B) $612, 000
C) $195, 872
D) $407, 796