Tutor.com is considering a plan to develop an online finance tutoring package that has the cost and revenue projections shown below. One of Tutor's larger competitors, Online Professor $($OP$),$ is expected to do one of two things in Year $5$: $(1)$ develop its own competing program, which will put Tutor's program out of business, or $(2)$ offer to buy Tutor's program if it decides that this would be less expensive than developing its own program. Tutor thinks there is a $35\%$ probability that its program will be purchased for $$5\mathrm{.}6$ million and a $65\%$ probability that it won't be bought, and thus the program will simply be closed down with no salvage value. What is the estimated net present value of the project $($in thousands$)$ at a WACC $=9\mathrm{.}0\%,$ giving consideration to the potential future purchase? Do not round intermediate calculations.

WACC $=9\mathrm{.}0\%$

$0$

$1$

$2$

$3$

$4$

$5$

Original project:

$$$$2,800$

$$600$

$$600$

$$600$

$$600$

$$600$

Future

Prob.

Buys

$35\%$

$$5,600$

Doesn't buy

$65\%$

$$0$

a$.$

$$686\mathrm{.}51$

b$.$

$$969\mathrm{.}19$

c$.$

$$1,009\mathrm{.}57$

d$.$

$$807\mathrm{.}66$

e$.$

$$646\mathrm{.}13$