A medium$-$sized company is evaluating the NPV of a potential investment project. The project requires an initial investment of $$200,000.$ The estimated annual cash flows for the first five

years are as follows:

Year $1$: $$50,000$

Year $2$: $$55,000$

Year $3$: $$60,000$

Year $4$: $$65,000$

Year $5$: $$70,000$

Base Case Assumptions:

Discount Rate $(r)$:$10\%$

Time Horizon: $5$ years

What is the base case NPV for the project with a discount rate of $10\%?$

Multiple Choice

$$10,327\mathrm{.}12$

$$16,327\mathrm{.}12$

$$12,257\mathrm{.}59$

$$18,493\mathrm{.}46$