class$=$"MsoNormal" style$=$"margin$-$bottom: $0\mathrm{.}0001$pt; background$-$position: initial initial; background$-$repeat: initial initial;"$>$A firm has the opportunity to invest in a project having an initial outlay of $$20,000.$ Net cash inflows $($before depreciation and taxes$)$ are expected to be $$5,000$ per year for five years.$$ The firm uses the straight$-$line depreciation method with a zero salvage value and has a $($marginal$)$ income tax rate of $40$ percent.The firm$\%$u$2019$s cost of capital is $12$ percent.a$.$ Compute the internal rate of return and the net present value. b$.$ Should the firm accept or reject the project?