$2.$ Belgravia Petroleum Inc. is trying to evaluate a project with the following cash flows:

year Cash flow

$0-655000$

$1200000$

$2300000$

$350000$

$4200000$

$5200000$

a$)$ As a financial manager, do you suggest they evaluate the project using NPV$,$ IRR, or both? Why?

b$)$ Should the company accept this project if it requires a $12\%$ return on its investments? Why?