The Pepper Corporation is considering an investment that will cost $920,000 today and will produce cash flows of $450,000 in Yr 1, $270,000 in Yrs 2-4, and $200,000 in Yr 5. If the discount rate that the firm uses for projects of this type is 11.25%, the EAA for this investment is:

a.

$52,377

b.

$40,399

c.

$41,387

d.

$42,923