An auto-parts company is deciding whether to sponsor a racing team for a cost of $1 million. The sponsorship would last for three years and is expected to increase cash flows by

$570,000

per year. If the discount rate is

6.1%,

what will be the change in the value of the company if it chooses to go ahead with the sponsorship?

A.

$781,203

B.

$520,802

C.

$885,364

D. $833,284