Permaprint LLC is considering expanding a production line. The new equipment for the line will cost $1,565,000. In addition, net working capital will increase by $115,000 and remain at that level for the life of the project. The new line is expected to generate operating cash flows for the next year of $365,000, $480,000, $590,000 and $760,000. Permaprint's discount rate for the project is 10.79%. The net present value of the project is closest to:

• $21,188
• $55,142
• -$21,188