A company is considering the purchase of a copier that costs $5,000. Assume a cost of capital of 10 percent and the following cash flow schedule: Year 1: $3,000 Year 2: $2,000 Year 3: $2,000 Determine the project's payback period and discounted payback period

Select one:

A. Payback Period: 2.0 years Discounted Payback Period: 2.4 years

B. Payback Period: 2.0 years Discounted Payback Period: 2.0 years

C. Payback Period: 2.0 years Discounted Payback Period: 1.6 years