Last year, Jackson Tires reported net sales of $40,000,000 and total operating costs (including depreciation) of $26,000,000. Jackson Tires has $43,500,000 of investor-supplied capital, which has an after-tax cost of 7.5%. If Jackson Tiress tax rate is 40%, how much value did its management create or lose for the firm during the year (rounded to the nearest whole dollar)?

$5,137,500

$20,737,500

$1,669,688

$22,837,500