Company XYZ is considering a new project that will last for 3 years. The revenue in the first year is expected to be 10 million. The annual growth rate of revenues is -20%. This project requires working capital for operations. Specifically, cash, inventory, receivables, and payables are 10%, 10%, 20%, and 15% of the revenue in a given year. The change in working capital in the second year is closest to

a.

1.2 million.

b.

- 0.5 million.

c.

0.6 million.

d.

- 1.2 million.