The Bruin's Den Outdoor Gear is considering a new $7-$year project to produce a new tent line. The equipment necessary would cost $$1\mathrm{.}95$ million and be depreciated using straight$-$line depreciation to a book value of zero. At the end of the project, the equipment can be sold for $15$ percent of its initial cost. The company believes that it can sell $30,500$ tents per year at a price of $$78$ and variable costs of $$37$ per tent. The fixed costs will be $$535,000$ per year. The project will require an initial investment in net working capital of $$249,000$ that will be recovered at the end of the project. The required rate of return is $12\mathrm{.}1$ percent and the tax rate is $34$ percent. What is the NPV$?$

Multiple Choice

$$715,994$

$$533,707$

$$578,927$

$$1,398,683$

$$932,838$