1. Internet Sales is considering building a new shipping warehouse in a major city. The warehouse will cost $25,000,000 and new equipment will cost another $20,000,000. Internet Sales will also need to invest $5,000,000 in working capital into the warehouse. If the warehouse will return pre-tax cash flows of $10,000,000 in the first year, $14,000,000 in the second year, and $20,000,000 in the fourth and sequential years after year 4, what is the payback period? Internet Sales has a tax rate of 25%.

   		After 4 years.
   		July of year 5.
   		February of year 5.
   		March of year 5.