Cash Payback Period for a Service Company Jane's Clothing Inc. is evaluating two capital investment proposals for a retail outlet, each requiring an investment of $200,000 and each with an eight-year life and expected total net cash flows of $320,000. Location 1 is expected to provide equal annual net cash flows of $40,000, and Location 2 is expected to have the following unequal annual net cash flows: Year 1 $78,000 Year 2 58,000 Year 3 38,000 Year 4 26,000 Year 5 42,000 Year 6 34,000 Year 7 24,000 Year 8 20,000 Determine the cash payback period for both location proposals. Location 1 Location 2 years years