Texas Utensils is considering a new project, which would cost $350,000 initially and would generate cash flows of $42,000, starting from next year until forever. Assume the cost of capital is 8%. Which of the following statements is true?
A. The IRR of the project is 8%.
B. The IRR of the project is 12%.
C. The IRR of the project can't be determined since the cash flows would last forever.
D. The IRR of the project is infinitely large since the cash flows would last forever.