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Penn Company reports net operating profit after tax ( NOPAT ) of $ 3 , 3 0 6 million in 2 0 1 7 .

Penn Company reports net operating profit after tax (NOPAT) of $3,306 million in 2017. Its net operating assets at the beginning of 2017 are $10,215 million. Assuming a 6.66% weighted average cost of capital (WACC), what is Penn's residual operating income for 2017?
A. $ 864 million
B. $2,626 million
C. $3,305 million
D. $1,699 million

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