The Boyer Bank Wants to Add a New ATM Machine

Multiple Choice

The Boyer Bank wants to add a new ATM machine in a busy mall.It knows the new machine will cost $60,000 and another $30,000 is required to install it in the mall.It expects to save $0.27 per transaction and generate 100,000 transactions per year.Also,it expects the new machine to last 8 years.If it needs to earn a 12% return,what is the NPV of this project? (Round your answer to the nearest $1,000)

A) $126,000
B) $44,000
C) $134,000
D) $27,000
E) $117,000