Acme Inc. plans to add a new product line. The project requires an intital investment of $285,000,

has an expected useful life of 9 years, and has an expected terminal value of $15,000. The

project is expected to generate the following annual revenues and expenses:

Cash revenues

$170,000

Cash operating expenses (108,000)

Depreciation expense

(30,000)

Annual incremental net operating income

$32,000

What is the payback period of this project in years? Round to one decimal point

4.6 years

4.4 years

8.4 years

8.9 years

None of the above

What is the payba 4,6 years 4. A years 8. 4 years 8.9 years Nane of the above