Consider a project with the following data: i=1'debt = 6% OCFo = -$100,000 Ku=T'asset = 12% OCF1 = $39,800 = 25,000x($5 - $3)x(1 -.34) + $20,000x0.34 Ki=l'equity = 27.84% OCFs = $43,100 = $39,800 + $5,000x(1 -.34) K=IWACC = 8.74% t = Tax rate = 34% Debt-to-equity ratio = 4 Risk-free rate = 2% The 5-year project requires equipment that costs $100,000. If undertaken, the shareholders will contribute $20,000 cash and borrow $80,000 at 6% with an interest-only loan with a maturity of 5 years and annual interest payments. The equipment will be depreciated straight-line to zero over the 5-year life of the project. There will be a pre-tax salvage value of $5,000. There are no other start-up costs at year 0. During years 1 through 5, the firm will sell 25,000 units of product at $5; variable costs are $3; there are no fixed costs. What is the NPV of the project using the WACC methodology? O $49,613.03 $58,028.68 O $102,727.55 O $315,666.16