As a capital budgeting director for ABC company, you are evaluating the construction of a new plant. The plant has a net cost of $5 million in year 0, and it will provide net cash inflows of $1 million in year 1, $1.5 million in year 2, and $2 million ib years 3 through 5. As a first approximation, you may assume that all cash flows occur at year-end. Within what range is the plants IRR?

	1.	18-19%
	2.	17-18%
	3.	15-16%
	4.	14-15%