Dog Up! Franks is looking at a new sausage system with an installed cost of $702,000. This cost will be depreciated straight-line to zero over the project's 9-year life, at the end of which the sausage system can be scrapped for $108,000. The sausage system will save the firm $216,000 per year in pretax operating costs, and the system requires an initial investment in net working capital of $50,400. If the tax rate is 23 percent and the discount rate is 11 percent, what is the NPV of this project?

Multiple Choice

$350,765.68

$336,071.71

$287,558.99

$320,068.29

$318,256.38