Payback period The Ball Shoe Company is considering an investment project that requires an initial investment of

$525,000

and returns cash inflows of

$95,037

per year for 10 years. The firm has a maximum acceptable payback period of 8 years.

a.Determine the payback period for this project.

b.Should the company accept the project?

Question content area bottom

Part 1

a.The payback period for this project is

enter your response here

years.(Round to two decimal places.)