Scranton Shipyards has $20.5 million in total invested operating capital, and its WACC is 10%. Scranton has the following income statement:

Sales	$10.0 million
Operating costs	6.0 million
Operating income (EBIT)	$ 4.0 million
Interest expense	2.0 million
Earnings before taxes (EBT)	$ 2.0 million
Taxes (40%)	0.8 million
Net income	$ 1.2 million

What is Scranton's EVA? Answer options are provided in whole dollar.

a. $385,000

b. $262,500

c. $402,500

d. $280,000

e. $350,000