You have been asked to calculate the IRR (internal rate of return) of the following project. The project has a cost of $1,100,000. The project has an expected cash flow of $550,000 in year 1, an expected cash flow of $450,000 in year 2 and an expected cash flow of $650,000 in year 3. The required rate of return is 10% compounded annually. What is the IRR?