An investment project has annual cash inflows of $5,600, $6,700, $7,500, and $8,800, and a discount rate of 12 percent.

Required:

What is the discounted payback period for these cash flows if the initial cost is $9,000? (Do not round your intermediate calculations.)

rev: 09_18_2012

1.25 years

2.50 years

1.75 years

3.50 years

0.75 years