O.K., Inc. uses one-third debt and two-thirds common stock to finance their operations. The after-tax cost of debt is 4.5 percent and the cost of equity is 9 percent. The management of O.K., Inc. is considering a small project that they consider to be equally as risky as the overall firm. The project has an initial cash outlay of $10,000. The project is expected to have a single cash inflow of $17,500 at the end of two years. What is the projected net present value of this project? Answers: $5,040.41, $5,143.32, $5,707.07, $6,025.27, $6,279.07