Consider a project to supply Morrison Motors with 25,000 machine screws annually for automobile production. You will need an initial investment of $3,600,000 in threading equipment. The project will last 5 years. The accounting department estimates that the annual fixed costs will be $850,000 and the variable costs should be $185 per ton; the CCA rate for the threading equipment is 20 percent. It is also estimates a salvage value of $500,000 after dismantling costs. The marketing department estimates that the automakers will let the contract at a selling price of $280 per ton. The engineering department estimates you will need an initial net working capital investment of $360.000. You require a 13 percent return and face a marginal tax rate of 40 percent on this project.

Suppose you believe that the accounting department's initial cost and salvage value projections are accurate only to within +- 15 percent; the marketing department's price estimate is accurate only within +-10 percent; and the engineering department's net working capital estimate is accurate only within +-5 percent. What is your worse-case scenario NPV for this project?

A.(1,451,149.95)

B.(4,518,000)

C.(2,697,179.43)

D.(1,656,313.20)