(IRR, payback, and calculating a missing cash flow) Mode Publishing is considering building a new printing facility that will involve a large initial outlay and then result in a series of positive free cash flows for 4 years. The estimated cash flows associated with this project are:

YEAR	PORJECT CASH FLOW
0 (initial outlay)	?
1	$ 800 million
2	400 million
3	300 million
4	500 million

If you know that the project has a regular payback of 2.5 years, what is the project's internal rate of return?

If you know that the project has a regular payback of 2.5 years, what is the initial cash outlay of the project?