The owner of a number of gas stations is considering installing coffee machines in his gas stations. It will cost $260,000 to install the coffee machines, and they are expected to boost cash flows by $116,071 per year for their five-year working life. What must the cost of capital be if this investment has a profitability index of 1 ? A. 3.78% B. 1.89% C. 7.55% D. 9.44%