$12.$ The NPV and payback periodSuppose you are evaluating a project with the cash inflows shown in the following table. Your boss has asked you to calculate the projects net present value $($NPV$).$ You dont know the projects initial cost, but you do know the projects regular, or conventional, payback period is $2\mathrm{.}50$ years.The project's annual cash flows are:YearCash FlowYear $1$$$400,000$Year $2600,000$Year $3400,000$Year $4375,000$If the projects desired rate of return is $8\mathrm{.}00\%,$ the projects NPVrounded to the nearest whole dollaris $.$Which of the following statements indicate a disadvantage of using the discounted payback period for capital budgeting decisions? Check all that apply.The payback period does not take into account the cash flows produced over a projects entire life.The discounted payback period is calculated using net income instead of cash flows.The discounted payback period does not take into effect the time value of money effects of a projects cash flows.