34.Ivanhoe customs investment

Your answer is partially correct. Ivanhoe's Custom Construction Company is considering three new projects, each requiring an equipment investment of $22,880. Each project will last for 3 years and produce the following net annual cash flows. Year AA BB CC 1 $7,280 $10,400 $13,520 2 9,360 10.400 12,480 3 12,480 10,400 11,440 Total $29,120 $31,200 $37,440 The equipment's salvage value is zero, and Ivanhoe uses straight-line depreciation. Ivanhoe will not accept any projet with a cash payback period over 2 years. Ivanhoe's required rate of return is 12%. Click here to view PV table (a) Compute each project's payback period. (Round answers to 2 decimal places, eg. 15.25.) AA 8 years BB 8 years CC years