Vitamin World is considering spending $250,000 at Time 0 to test a new product. Depending on the test results, the firm may decide to spend $790,000 at Time 1 to start production of the product. If the product is introduced and it is successful, it will produce aftertax cash flows of $890,000 a year for Years 2 through 4. The probability of successful test and investment is 70 percent. What is the net present value at Time 0 given a 14 percent discount rate?

		$486,715.27
		$518,205.46
		$533,663.82
		$547,820.79
		$558,610.35