Offshore Drilling Products, Inc., imposes a payback cutoff of three years for its international investment projects. Assume the company has the following two projects available.

Year	Cash Flow A		Cash Flow B
0	–$	49,000	–$	94,000
1		19,000		21,000
2		25,400		26,000
3		21,000		33,000
4		7,000		246,000

Requirement 1:

What is the payback period for each project? (Enter rounded answers as directed, but do not use the rounded numbers in intermediate calculations. Round your answers to 2 decimal places (e.g., 32.16).)

	Payback period
Project A________	years
Project B________	years

Requirement 2:

Should it accept either of them?

(Click to select)Accept both projects A and B or Accept project A and reject project B or Reject both projects A and B or Accept project B and reject project A