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Alpha Industries is considering a project with an initial cost of $ 8 . 4 million. The project will produce cash inflows of $ 1

Alpha Industries is considering a project with an initial cost
of $8.4 million. The project will produce cash inflows of $1.64
million per year for 8 years. The project has the same risk as the
firm. The firm has a pretax cost of debt of 5.73 percent and a cost
of equity of 11.35 percent. The debtequity ratio is .64 and the
tax rate is 21 percent. What is the net present value of the
project?A. $831,144B. $960,433C. $791,566D. $783,578E. $624,434

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