A project has cash flows of $108,000, $52,800, $53,200, and $83,100 for Years 0 to 3, respectively. The required payback period is two years. Based on the payback period of _____ years for this project, you should _____ the project.

Multiple Choice

• 2.46; accept

• 2.29; reject

• 1.79; accept

• 1.98; accept

• 2.02; reject