Flexsteel Industries manufactures furniture for the retail, contract, and recreational vehicle furniture markets. Flexsteel is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in cash flow of $251,200. The equipment will have an initial cost of $1,301,80O and have an 8-year life. There is no salvage value for the equipment. If the hurdle rate is 10%, what is the internal rate of return? Ignore income taxes. (Future Value of $1, Present Value of $1, Future Value Annuity of $1, Present Value Annuity of $1.) (Use appropriate factor from the PV tables. Round your final answer to the nearest dollar amount.)

A)Between 8% and 10%

B)Greater than 10%

C)less than zero

D)Between 6% and 8%