FITCO is considering the purchase of new equipment. The equipment costs $347000, and an additional $110000 is needed to install it. The equipment will be depreciated straight-line to zero over a 5-year life. The equipment will generate additional annual revenues of $275000, and it will have annual cash operating expenses of $81000. The equipment will be sold for $82000 after 5 years. An inventory investment of $74000 is required during the life of the investment. FITCO is in the 40 percent tax bracket, and its cost of capital is 11 percent. What is the project NPV?

A: $90294.

B: $107438.

C: $73864.

D: $58110.