Your firm manufactures a generic low-cost product. To be more competitive, you are considering expanding your product line with a new premium version of your product Below are the detail

- cost of new equipment: $90,000

- installation cost of equipmentL $40,000

- life of equipment: 5 years straight line depreciation

- expected sales: $170,000 per year

- expected reduction in sales of generic product customer shift to the new line: $10,000 per year

- raw material cost: $90,000 per year

- new worker salary: $20,000

- Required Net working capital over the life of the project: $20,000

- Expected salvage value of equipment at the end of 5 year: $30,000

- tax rate: 35%

assuming a WACC of 15%, what is the projects NPV?

a. 14,322

b. 22,491

c. 5,017

d, -2,068

e. e. 9,766