A company of vsports equipement plans to develop a glove over two years. This project will cost $850,000 per year with one payment made immediately and the other at the end of year 2. When the gloves will be released, it is expected to generate $1.2 million after-tax cash flows per year for three years (i.e. from year 3 to year 5). What is the net present value (NPV) of this decision if the cost of capital is 9%?

a. $991,220

b. $1,071,432

c. $1,564,559

d. $1,841,093