(Ignore Income Taxes in This Problem Based on the Data Given, the Annual Cost Savings Would

Multiple Choice

(Ignore income taxes in this problem.) Given the following data: $\begin{array}{lrr} \text { Present investment required. } &£ 10,000\\ \text {Net present value. } &£ 1,300\\ \text {Annual cost savings. } &£?\\ \text { Dis count rate. } &14 \%\\ \text {Life of the project. } &\text { 8 years } \\\end{array}$

Based on the data given, the annual cost savings would be (rounded)

A) £4,024.
B) £2,436.
C) £1,875.
D) £3,704.