Romero Company is deciding on whether to accept a project on January 1, 2012 that requires a \$124, investment with an estimated residual value of $22,000. The income and operating cash flows (not including the residual value) expected follow:

If Romero's required rate of return is 8.3%, how much is the NPV?

a. $ 17,170

b. $48,179

c. ($5,991)

d. Some other answer

e. $11,329

2012 2013 2014 Projected Cash Flows $40,000 $48,000 $51,000 Projected Net Income $6,000 $14,000 $17,000