Without using excel functions or a finance calculator complete the following question showing all steps:
Franchising, Inc. is considering a major investment. The investment will have an initial cost of $630,000 and will be depreciated straight line to a zero book value over the life of the project. The cash inflows generated by the project are estimated at $255,000 for the first three years and $25,000 for the following five years. What is the internal rate of return?