Without using Excel:

You are looking for a new truck and see the following advertisement. "Own a new truck! No money down. Just five easy annual payments of $8000." You know that you can get the same truck from the dealer across town for only $31,120. The interest rate for the deal advertised is closest to:

A) 9%

B) 8%

C) 8.5%

D)10%

Please include the formula for computing IRR.