Washington Industries Inc

Washington Industries Inc.is considering a project that has an initial after-tax outlay or after-tax cost of $350,000.The respective future cash inflows from its five-year project for years 1 through 5 are $75,000 each year.Washington expects an additional cash flow of $50,000 in the fifth year.The firm uses the net present value method and has a discount rate of 10%.Will Washington accept the project?

A) Washington accepts the project because it has an NPV greater than $5,000.
B) Washington rejects the project because it has an NPV less than $0.
C) Washington accepts the project because it has an NPV greater than $18,000.
D) There is not enough information to make a decision.