12. (NPV, IRR) A company can invest $1,600,000 in a capital budgeting project that will generate the following forecasted cash flows: Year 1 2 3 4 Cash flow $500,000 720,000 300,000 600,000 The company has a 13% cost of capital. a. Calculate the project's net present value. b. Calculate the project's internal rate of retum. c. Should the firm accept or reject the project? d. What is the value added to the firm if it accepts this proposed investment