21

Calculate the payback period (PB) for a project that has the following cash flows? The required return is 15.0%. Year Cash Flow 0 1 $ (45,000) $ 25,000 $ 20,000 2 3 $ 15,000 4 $ 10,000 5 $ 5,000 2.00 years None of these are correct 3.75 years 2.67 years 4.25 years