Miles Inc.is considering the purchase of a new machine for $600000 that has an estimated useful life of 5 years and no salvage value.The machine will generate net annual cash

Miles Inc.is considering the purchase of a new machine for $600000 that has an estimated useful life of 5 years and no salvage value.The machine will generate net annual cash flows of $105000.It is believed that the new machine will reduce downtime because of its reliability.Assume the discount rate is 8%.In order to make the project acceptable the reduction in downtime must be worth
A)$23958 per year.
B)$49662 per year.
C)$18264 per year.
D)$36147 per year.

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