Use the Following Information to Answer the Question(s) Below

Use the following information to answer the question(s) below.
Taggart Transcontinental is considering a $250 million investment to launch a new rail line. The project is expected to generate a free cash flow of $32 million per year, and its unlevered cost of capital is 8%. Taggart's marginal corporate tax rate is 35%.
-Assume that to fund the investment Taggart will take on $150 million in permanent debt with the remainder of the investment funded by a cut in dividends.Assuming Taggart will incur a 2% underwriting fee on the new debt issue,the NPV of Taggart's new rail line is closest to:

A) $195 million
B) $200 million
C) $235 million
D) $240 million