The equipment has an invoice price of $390,000 and will cost $40,000 to modify for company use. Shipping will cost $10,000. The company spent $10,000 last year analyzing 5 competing brands of equipment before deciding that this brand was the best for their purposes. The equipment will be depreciated as a 3-Year MACRS asset with the following rates Year 1 - 33% Year 2 - 45% Year 3 - 15%, and Year 4 - 7% If the project is undertaken the company will need an increase in net working capital of $40,000. This net working capital will be recovered at the end of the project's three year life If the project is undertaken the company will realize an additional $500 000 in sales over each of the next three years. The company's operating costs (excluding depreciation) will be $200,000 higher over each of the next three years - if the project is undertaken, old equipment that has been fully depreciated can be sold for $20,000 of the project is not undertaken, the old equipment will last 3 more years at which time its salvage value will be zero . The company's tax rate is 40 percent At the end of year three, the equipment will have a salvage value of $90,000 The project's cost of capital is 10 percent The net investment (NINV etuired to find this dreiectis OA. $490,000 B. $390,000 C. $480 000 D. $468,000 @ @ w