Ch 11: Assignment - The Basics of Capital Buugelb Back to Assignment Keep the Highest: /2 Attempts: 8. The NPV and payback period What information does the payback period provide? Suppose Praxis Corporation's CFO is evaluating a project with the following cash inflows. She does not know the project's initial cost; however, she does know that the project's regular payback period is 2.5 years. Year Year 1 Year 2 Year 3 Year 4 Cash Flow $275,000 $450,000 $425,000 $400,000 If the project's weighted average cost of capital (WACC) is 9%, what is its NPV? $305,098 $366,118 $320,353 $274,588 Which of the following statements indicate a disadvantage of using the discounted mayback period for capital budgeting stacisions? Check all that