1. You have just landed your dream summer internship, and your boss asks you to analyze a project that has an investment cost of 3,500,000, to be paid today (t = 0), and will generate a cash-flow of 350,000 in the first year (t = 1). The cash-flow will then grow at 12% per year for the next eight years (the last time the cash-flow grows at 12% is from t = 8 to t = 9). Afterwards, as competition increases, cash-flow growth is expected to be only 4% per year in perpetuity. (The cash-flow grows at 4% from t = 9 to t = 10 and forever thereafter.) The discount rate is 18%.
   1. (3 points) Start by drawing the timeline, showing the cash flows at t = 0, 1, 2, 3, 8, 9, 10, 11 (the amount and how you calculated it).
   2. (10 points) What is the NPV of this project?
   3. (3 points) Do you recommend accepting or rejecting the project? Why? (Three sentences at most.)

D. (4 points) Write down the equation for the IRR of this project. (You dont have to solve for the IRR, just write the equation whose solution is the IRR.)