How to calculate IRR and NPV.

THomas Company is investing $10,000 in a project that has a two-year life with an internal rate of return (IRR) of 10%. The project yields a net cash flow of $7,260 for year 2.

The present value of $1 for one year at 10 percent is .90909

THe present value of $1 for two years at 10 percent is .86245

what is cash flow produces by the project for year 1?

a. 2,740

b. 4,400

c. 4,000

d. 6,000