The future cash flows of a stand-alone capital project are: Year 0 1 2 3 4 Cash flow ($4,000) $1,500 $1,500 $1,500 $1,500 If the firm's cost of capital is 12%, which of the following statements is true?

a. the NPV is > $0 and the IRR is less than 12.5%

b. the NPV is < $0 and the IRR is higher than 12.5%

c. the NPV is > $0 and the IRR is approximately 18.5%

d. the NPV is < $0 and the IRR is approximately 18.5%