XYZ Corp is evaluating a project that requires an initial investment of $500,000. The project is expected to generate cash flows of $120,000 per year for the next 8 years. After the eighth year, the project is expected to have a salvage value of $100,000. The cost of capital for XYZ Corp is 12%. Determine the internal rate of return (IRR) for the project and advise XYZ Corp whether the project should be accepted or rejected.