Northern Thrift Stores needs to finance their new store. The cost is $5 million or $5M. They expect to pay out $2 million or 40% of their net cashflow. Any external financing will be raised 60% borrowings and the remainder equity. Unfortunately, the company has no internal excess short-term funds to use. How much total equity must be raised?

options:

	$3.8M
	$0.8M
	$3.0M
	$2.4M