A company just paid $10 million for a feasibility study. If the company goes ahead with the project, it must immediately spend another $100 million now, and then spend $20 million in one year. In two years it will receive $80 million, and in three years it will receive $90 million. If the cost of capital for the project is 11 percent, what are the projects NPV and IRR?

• NPV = $2.72 million; IRR = Two positive IRRs.
• NPV = $2.72 million; IRR = 16%.
• NPV = $12.72 million; IRR = Two positive IRRs.
• NPV = $12.72 million; IRR = 16%.