Dow Industries is considering the purchase of a new strapping machine, which will cost $150,000, plus an additional $10,500 to ship and install. The new machine will have a 5-year useful life and will be depreciated to zero using the straight-line method. The machine is expected to generate incremental free cash flow of $40,000 per year over the next 5- years. Dow's income tax rate is 35% and cost of capital is 8%. If the manager uses the IRR to evaluate the project, should the manager accept or reject the project? Select one: a. IRR is 10.32% and the manager should accept the project b. IRR is 5.75% and the manager should reject the project c. IRR is 7.81% and the manager should reject the project d. IRR is 9.15% and the manager should accept the project