Unilever is evaluating a project that requires an initial investment of $650,000. The asset will be depreciated over five years at 20% per year. The expected cash flows are:

Year	Inflow ($)	Outflow ($)
Year 1	220,000	90,000
Year 2	230,000	95,000
Year 3	240,000	100,000
Year 4	250,000	105,000
Year 5	260,000	110,000

a. Calculate the internal rate of return (IRR).
 b. What is the payback period?
 c. Assuming a cost of capital of 10%, what is the net present value (NPV) of the cash flows?
 d. Should Unilever proceed with the project?