can you explain the steps further as the with the answers given ...thanks

Payback period:

Payback period = Investment required for the project/Net annual cash flow

Above formula can be used directly if equal annual cash flows given. But here,problem has unequal net cash inflows.

For 5th year net annual cash flow $130,000 ---- 365 days

$15,000 ------ 365 days * 15,000/130,000

------ 42 days

Therefore, payback period is 4 years and 42 days.