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Dougs Custom Construction Company is considering three new projects, each requiring an equipment investment of $28,380. Each project will last for 3 years and produce

Dougs Custom Construction Company is considering three new projects, each requiring an equipment investment of $28,380. Each project will last for 3 years and produce the following net annual cash flows.

Year AA BB CC
1 $9,030 $12,900 $16,770
2 11,610 12,900 15,480
3 15,480 12,900 14,190
Total $36,120 $38,700 $46,440

The equipments salvage value is zero, and Doug uses straight-line depreciation. Doug will not accept any project with a cash payback period over 2 years. Dougs required rate of return is 12%.

Compute each projects payback period. (Round answers to 2 decimal places, e.g. 15.25.)
AA years
BB years
CC

years

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