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Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 -$ 313,734 -$ 16,090 1 29,300 5,972 2 60,000 8,167

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Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 -$ 313,734 -$ 16,090 1 29,300 5,972 2 60,000 8,167 3 52,000 13,514 4 398,000 9,460 Whichever project you choose, if any, you require a 6 percent return on your investment. a. What is the payback period for Project A? Payback period b. What is the payback period for Project B? Payback period

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