Czlapinski Corporation is considering a capital budgeting project that would require an initial investment of $440,000 and working capital of $32,000. The working capital would be released for use elsewhere at the end of the project in 4 years. The investment would generate annual cash inflows of $147,000 for the life of the project. At the end of the project, equipment that had been used in the project could be sold for $11,000. The company's discount rate is 7%.

The net present value of the project is closest to:

A. $66,282

B. $159,000

C. $58,698

D. $34,282

PV table link:

http://lectures.mhhe.com/connect/007802563x/exhibit_13b-1.jpg

http://lectures.mhhe.com/connect/007802563x/exhibit_13b-2.jpg

Please explain answer.