1. A firm is considering a capital project for a parking lot that will produce revenues for seven years and which will require an additional outlay of cash of $25,000 at the end of four years. The firm uses a target rate of 9% to evaluate its capital projects. The net present value of the capital outlay is:

A. $81,000

B. $13,675

C. $17,700

D. $125,825

Choose the correct answer (multiple choice)