Angelo has an opportunity to invest in a property that is expected to earn $14,000 in income at the end of the first year followed by $20,000 at the end of year two, $25,000 at the end of year three, $30,000 at the end of year four and five. The asking price for the property is $300,000 and he anticipates selling it for $375,000 at the end of the five year period. What is the internal rate of return for this investment?
a. Between 10% and 11%.
b. Between 9% and 10%.
c.Between 12% and 13%.
d.Between 11% and 12%.