Based on market values, Gubler's Gym has an equity multiplier of 1.59 times. Shareholders require a return of 11.43 percent on the company's stock and a pretax return of 4.97 percent on the company's debt. The company is evaluating a new project that has the same risk as the company itself. The project will generate annual aftertax cash flows of $303,000 per year for 8 years. The tax rate is 25 percent. What is the most the company would be willing to spend today on the project?

a. $1,937,759

b. $1,572,907

c. $1,675,002

d. $1,627,145

e. $1,704,072