An apartment project has an NOI of $135,600, receivable in relatively equal monthly installments. It can be purchased today and almost certainly flipped to the local university in exactly one year, for an anticipated sales price of $2 million, net to seller. There is some risk the university will not buy, which causes the buyer to select a discount rate of 15 percent. What is the highest acquisition price that can be paid so that the discounted cash flows exactly equal the acquisition cost?

a) $432,955

b) $373,814

c) $1,059,141

d) $1,373,814