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An auto - parts company is deciding whether to sponsor a racing team for a cost of $ 1 million. The sponsorship would las for

An auto-parts company is deciding whether to sponsor a racing team for a cost of $1 million. The sponsorship would las for three years and is expected to increase cash flows by $570,000 per year. If the discount rate is 6.4%, what will be the change in the value of the company if it chooses to go ahead with the sponsorship?
A. $819,857
B. $768,616
C. $871,098
D $512,411
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