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The potential owner managers of a yet to be formed company are evaluating its prospects. Initial outlays will total $5.5 million and after tax cash

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The potential owner managers of a yet to be formed company are evaluating its prospects. Initial outlays will total $5.5 million and after tax cash inflows are expected to be $0.4 million at the end of each of the first 2 years of operations, $0.75 million at the end of each of the 2 years after that, and $1.2 million at the end of each of the years thereafter indefinitely. The potential owner managers estimate that they require a 15% rate of return per year. What is the net present value of the company, and should the potential owner managers start it up? O A $3,872,122, and yes start it up B. $646.262and no do not start it up DC-$2,000,000 and no do not start it up D. $646.262. and yes start it up E None of the above

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