3. SHOW WORK---(Ignore income taxes in this problem.) The following information is available on a new piece of equipment: Cost of the equipment................................. $21,720 Salvage value.............................................. $0 Annual Cash inflows..................................... $5,000 Internal rate of return................................. 16% Required rate of return................................ 10% The life of the equipment is approximately: A. 6 years B. 4.3 years C. 8 years D. It is impossible to determine from the data given