A cost-cutting project has an initial cost of $2,000 and annual costs of $500 for each year of the project's 5-year life. The equivalent annual cost for this project is best described as the:

a	5-year annuity payment that has the same net present value as the project's costs given a stated discount rate.
b	5-year total of all costs divided by four.
c	annual sales needed to offset these additional costs.
d	lump sum payment at Time 0 that is equal to these additional costs at a given discount rate.
e	5-year average aftertax cash flow resulting from the annual costs.