Basta Corporation has provided the following data concerning an investment project that it is considering:

Initial investment	$ 780,000
Working capital	$ 94,000
Annual cash flow	$ 268,000	per year
Salvage value at the end of the project	$ 26,000

Click here to view Exhibit 14B-1 and Exhibit 14B-2, to determine the appropriate discount factor(s) using the tables provided.

The working capital would be released for use elsewhere at the end of the project in 4 years. The companys discount rate is 8%. The net present value of the project is closest to:

Multiple Choice

$126,726

$32,726

$318,000

$101,816