Washington Industries is considering an expansion. The necessary equipment would be purchased for $10 million and will be fully depreciated at the time of purchase. The expansion would also require an additional $2 million investment in working capital. The tax rate is 20 percent. Last year, the company spent and expensed $400,000 on research related to the project. The company plans to house the project in an unused building it owns. If the building were sold, it would net $1 million after taxes and real estate commissions. What is the initial investment outlay for this project after bonus depreciation is considered?

	a.	$9.6 million
	b.	$13.4 million
	c.	$13.0 million
	d.	$12.4 million
	e.	$11.0 million