You Want to Invest in a Riskless Project in Sweden

You want to invest in a riskless project in Sweden.The project has an initial cost of SKr380,000 and is expected to produce cash inflows of SKr210,000 a year for 2 years.The project will be worthless after two years.The expected inflation rate in Sweden is 2.6 percent while it is 2.1 percent in the U.S.A risk-free security is paying 3.8 percent in the U.S.The current spot rate is $1 = SKr6.56.What is the net present value of this project in U.S dollars using the foreign currency approach?

A) $1,811.70
B) $13,799.21
C) $2,192.65
D) $3,684.44
E) $14,383.78