Consider the following project with a 4-year life. If terminated prior to 4 years, the equipment used will have a positive salvage value. Cash flows from the project and salvage values at various stages are shown in the table below. Choose the optimal operating life of the project. Assume a WACC of 10%.

Year	Cash Flow	Salvage Value
0	-5,000	4,500
1	3,200	3,375
2	2,200	2,250
3	1,500	1,125
4	900	0

Group of answer choices

1 year

4 years

0 years

2 years

3 years