Billy Bob is considering building a water slide park that will require a net investment of $200,000 and yield the following net cash flows:

Year	Net Cash Flows	Cert. Equiv. Factor
1	$120,000	0.90
2	$90,000	0.80
3	$60,000	0.65
4	$30,000	0.50
5	$10,000	0.30

If the risk-free rate is 8 percent and the market risk premium is 6 percent, what is the certainty equivalent NPV for this project?

	a.	$11,025
	b.	$5,746
	c.	$12,805
	d.	$3,703