(Ignore income taxes in this problem.) Heap Company is considering an investment in a project that will have a two year life.

(Ignore income taxes in this problem.) Heap Company is considering an investment in a project that will have a two year life. The project will provide a 10% internal rate of return, and is expected to have a $40,000 cash inflow the first year and a $50,000 cash inflow in the second year. What investment is required in the project?

           A)     $74,340

           B)     $77,660

           C)     $81,810

           D)     $90,000

How is it B?