LMN Inc. has an opportunity to invest in a new project requiring an initial investment of $800,000. The expected cash inflows are as follows:

Year	Cash Flows
0	-$800,000
1	$200,000
2	$250,000
3	$300,000
4	$350,000

a. Calculate the payback period. b. Should the project be accepted if the cost of capital is 10%? Use the Net Present Value (NPV) method to support your decision.