• (Payback period calculations) You are considering three independent projects: project A, project B, and project C. Given the following free cash flow information, calculate the payback period for each.

Project A	Project B	Project C
Initial Outlay	-$1,000	-$10,000	-$5,000
Inflow year 1	600	5,000	1,000
Inflow year 2	300	3,000	1,000
Inflow year 3	200	3,000	2,000
Inflow year 4	100	3,000	2,000
Inflow year 5	500	3,000	2,000

• If you receive a 3 year payback before an investment can be accepted, which project(s) would be accepted? Project A is should be over the -$1,000, project B should be over -$10,000, and Project C should be over -$5,000.