A project will require the purchase of equipment worth $36 million. Employee training will cost another $6 million at t=0. The project will be operated for 4 years, generating estimated annual sales revenues of $16 million and annual expenses of $5 million. You expect to sell the equipment for $8 million at the end of the project.

The tax rate is 40% and the cost of capital is 10%. The life of the equipment is 6 years and we will straight-line depreciate it to 0.

What is the NPV for this project?

A) $7.83 m

B) -$4.51 m

C) $1.29 m

D) $4.82 m