Consider the following projects:

Project	Cash Flows ($)
C0	C1	C2	C3	C4	C5
A	1,600	1,600	0	0	0	0
B	3,200	1,600	1,600	4,600	1,600	1,600
C	4,000	1,600	900	0	1,600	1,600

1. If the opportunity cost of capital is 12%, which project(s) have a positive NPV?
2. Calculate the payback period for each project.
3. Which project(s) would a firm using the payback rule accept if the cutoff period is three years?