Assume that a company is considering a $2,500,000 capital investment in a project that would earn net income for each of the next five years as follows:

Sales $ 1,900,000

Variable expenses 800,000

Contribution margin 1, 100,000

Fixed expenses:

Out-of-pocket operating costs$ 300,000

Depreciation 400,000

Net operating income $ 400,000

Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using the tables provided. If the companys discount rate is 16%, then the projects net present value is closest to: