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Bronco, Inc., imposes a payback cutoff of three years for its international investment projects. Year Cash Flow (A) Cash Flow (B) 0 $ 67,000 $

Bronco, Inc., imposes a payback cutoff of three years for its international investment projects.

Year Cash Flow (A) Cash Flow (B)
0 $ 67,000 $ 77,000
1 26,500 18,500
2 35,000 21,500
3 24,500 33,000
4 11,500 237,000

What is the payback period for both projects? (Round your answers to 2 decimal places, e.g., 32.16.)

PROJECT A: __?__years

PROJECT B:__?__years

Which project should the company accept?

Project A or Project B ?

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