(Ignore income taxes in this problem.) The Sawyer Corporation has $125,000 to invest and is considering two different projects, X and Y. The following data are available on the projects:

Click here to view Exhibit 8B-1 and Exhibit 8B-2 to determine the appropriate discount factor(s) using tables.

	Project X		Project Y
Cost of equipment needed now	$	125,000
Working capital requirement		-	$	125,000
Annual cash operating inflows	$	34,000	$	29,000
Salvage value in 5 years	$	6,000		-

Both projects will have a useful life of 5 years; at the end of 5 years, the working capital will be released for use elsewhere. Sawyer's discount rate is 11%. The net present value of project Y is closest to:

$41,169

$56,309

$9,613

($9,613)