Yeatman Co. is considering an investment that will have the following sales, variable costs, and fixed operating costs:

	Year 1	Year 2	Year 3	Year 4
Unit Sales	5,500	5,200	5,700	5,820
Sale price	$42.57	$43.55	$44.76	$46.79
Variable cost per unit	$22.83	$22.97	$23.45	$23.87
Fixed Operating costs except depreciation	$66,750	$68,950	$69,690	$68,900
Accelerated Depreciation Rate	33%	45%	15%	7%

The project will require an investment of $25,000 in new equipment but no investment is needed in its net operating working capital. The equipment will have a salvage value of $2,000 at the end of the project's 4-year life. Yeatman pays a constant tax rate of 40%.

What would be the project's NPV if straight-line depreciation is used? Assume the book value at the end of year 4 is 0 but the salvage value (market value) will still be $2,000.

$72,895.14

$73,895.14

$74,895.14

$75,895.14

$76,895.14