What is the internal rate of return of the cash flows for this investment?

A. -17.34%

B. -10.35%

C. 4.45%

D. 17.45%

E. 18.20%

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Purchase Price	$8 million
Loan Amount	$6 million
	1	2	3	4	5
Potential Gross Income	$1,250,000	$1,312,500	$1,378,125	$1,447,031	$1,519,383
Effective Gross Income	$1,125,000	$1,181,250	$1,240,313	$1,302,328	$1,367,445
Net Operating Income	$700,000	$800,000	$900,000	$900,000	$950,000
Future Selling Price	$12.5 million
Net Sale Proceeds	$12.0 million