Edwards Electronics recently reported $9,500 of sales, $5,500 of operating costs other than depreciation, and $1,250 of depreciation. The company had no amortization charges, it had $3,500 of bonds that carry a 6.25% interest rate, and its federal-plus-state income tax rate was 25%. How much was its net operating profit after taxes (NOPAT)?

Select the correct answer.

a. $2,062.50

b. $2,041.50

c. $2,083.50

d. $2,104.50

e. $2,020.50