Assume that a company has provided the following information regarding a capital investment opportunity:

Initial investment in equipment $ $150,000$

Initial investment in working capital $ $30,000$

Estimated annual sales $ $160,000$

Estimated annual cash operating expenses $ $70,000$

Repairs and maintenance in $3$rd year $ $22,000$

Click here to view Exhibit $7$B$-1$ and Exhibit $7$B$-2,$ to determine the appropriate discount factor$($s$)$ using the tables provided.

The equipment has a four$-$year useful life and no salvage value. The working capital will be released at the end of the project. The company$$s tax rate is $30\%.$ Assuming a discount rate of $24\%,$ the net present value of this investment is closest to:

Multiple Choice

$$18,824.$

$$3,044.$

$$22,024.$

$$12,724.$