Gateway Communications is considering a project with an initial fixed assets cost of $$1\mathrm{.}53$ million that will be depreciated

straight$-$line to a zero book value over the $9-$year life of the project. At the end of the project the equipment will be sold for an

estimated $$242,000.$ The project will not change sales but will reduce operating costs by $$403,000$ per year. The tax rate is $23$

percent and the required return is $11\mathrm{.}7$ percent. The project will require $$53,000$ in net working capital, which will be recouped

when the project ends. What is the project's NPV$?$

$$422,006$

$$438,886$

$$371,690$

$$453,516$

$$388,585$