DiplomatCom Is Considering a Project That Has an Up-Front Cost

Multiple Choice

Diplomat.com is considering a project that has an up-front cost of $3 million and is expected to produce a cash flow of $500,000 at the end of each of the next 5 years. The project's cost of capital is 10%.
-Based on the above data, what is the project's net present value?

A) -$1,312,456
B) -$1,104,607
C) -$875,203
D) $105,999
E) $321,788