Consider the previous question with the following details:

A company is considering a project that will last for $4$ years with no residual value. The project has the following annual cash flows and details:

Time $0$: Cash flow $=-$$$165,000($Cost of project$)$

Time $1$: Cash flow $=$$$85,000,$ Net Income $=$$$47,500$

Time $2$: Cash flow $=$$$66,000,$ Net Income $=$$$28,500$

Time $3$: Cash flow $=$$$50,000,$ Net Income $=$$$12,500$

Time $4$: Cash flow $=$$$50,000,$ Net Income $=$$$12,500$

Average Book Value $=$$$82,500$

The required annual return on projects of this risk is $24\%.$

The company is trying to determine whether or not to accept this project. If they use the net present value $($NPV$)$ method of evaluation, will they accept the

project?

A$.$ Yes, they will accept.

B$.$ No$,$ they won't accept.