Assuming all equity nancing, a project has anet present value (NPV) of $1.5 million.To

nance the project, debt is issued with associated oatation costs of $60,000. The oatation

costs can be amortized over the project's 5 year life. The debt of $10 million is issued at 10%

interest,with principal repaid inalump sumat the endof thefth year.If therm's tax

rate is 34%, calculate the project's adjusted present value (APV)