(16 of 20 ) A CEO who led a famous turnaround at a large corporation has just retired. A publishing company has offered to pay her $1,800,000 today to spend the next two years writing a book about her experiences. Accepting this opportunity means that the author will give up lucrative speech opportunities over the next two years while she works on the book. She expects to make $950,000 per year giving speeches over the next two years if she does not accept the publishing opportunity. The former CEO estimates that 12% is a reasonable cost of capital for this project. What does the NPV rule say about this project? What does the IRR rule say about this investment? Should she accept the publishing deal? LO3 and LO4 The project has a positive NPV, so the NPV rule says to accept the project. The project's IRR is less than the cost of capital, so the IRR rule says to reject the project. The author should accept the publishing deal. The project has a positive NPV, so the NPV rule says to accept the project. The project's IRR is greater than the cost of capital, so the IRR rule says to accept the project. The author should accept the publishing deal. The project has a positive NPV, so the NPV rule says to accept the project. The project's IRR is less than the cost of capital, so the IRR rule says to reject the project. The author should reject the publishing deal. The project has a negative NPV, so the NPV rule says to reject the project. The project's IRR is less than the cost of capital, so the IRR rule says to reject the project. The author should reject the publishing deal