Payback Period Jan Booth is considering investing in either a storage facility or a car wash facility. Both projects have a five-year life and require an investment of $370,000. The cash flow patterns for each project are given below. Storage facility: Even cash flows of $140,000 per year Car wash: $113,000, $142,700, $69,000, $120,000, and $97,000 Required: 1. Calculate the payback period for the storage facility (even cash flows). Round your answer to one decimal place. 2.6 years 2. Calculate the payback period for the car wash facility (uneven cash flows). Round your answer to three decimal places. years Which project should be accepted based on payback analysis? Storage facility 3. What if a third mutually exclusive project, a laundry facility, became available with the same investment and annual cash flows of $170,000? It has a shorter payback period and provides more cash flow over its life. Now which project would be chosen? Laundry facility Check My Work Next