You are considering a project with an initial investment of $1,700,000. The predicted free cash flows of the project for years 1, 2, 3, and 4 are $800,000, $800,000, $300,000, and $200,000, respectively.

Assume that the cost of debt, preferred stock, and common stock is 8%, 10%, and 12%, respectively.

You plan on raising 1/3 of required capital from each stakeholder (1/3 of debt, 1/3 of common equity, and 1/3 of preferred stock).

The firm has a tax rate of 30%. Using the WACC method, what is the NPV of this project?

Group of answer choices

There is not enough information to answer this question

$187,439.1

$74,515.0

$124,767.2

$84,921.4