UPC, Inc., is considering an investment project that generates a cash flow of $3,000 next year if the economy is favorable but generates only $1,500 if the economy is unfavorable. The probability of favorable economy is 70% and of unfavorable economy is 30%. The project will last only one year and be closed after that. The cost of investment is $2,200 and UPC plans to finance the project with $500 of equity and $1,700 of debt. Assuming the discount rates of both equity and debt are 0%. What is the expected cash flow to UPC's creditors if the company invests in the project?

		$0
		$1,640
		$780
		$1,020
		$1,500