QUESTION $10$

A firm with a $10$ percent cost of capital is considering a project for this year$$s capital budget. The project$$s expected after$-$tax cash flows are as follows:

Year:

$0$

$1$

$2$

$3$

$4$

Cash flow:

$-$$$12,000$

$$4,400$

$$3,800$

$$5,800$

$$4,000$

Calculate the project$$s payback period.