Quatro, Inc. is considering project X that has an up-front cost of $195,000. The project's subsequent cash flows depend on whether another of its products, Y, is successful. There is a 75% chance that Y will be successful, in which case expected cash flows for X will be $95,000 at the end of each of the next 4 years. There is a 25% chance that Y will not be successful, in which case X's expected cash flows will be $40,000 at the end of each of the next 4 years. Assume that the cost of capital is 10%. Calculate X's NPV.

($68,205)

$51,785

$62,552

$106,137

None of the above