Question 29 Not yet answered Marked out of 1.00 Flag question DYI Construction Co. is considering a new inventory system that will cost $750,000. The system is expected to generate positive cash flows over the next four years in the amounts of $350,000 in year one, $325,000 in year two, $150,000 in year three, and $180,000 in year four. DYI's required rate of return is 8%. What is the payback period of this project Select one: a. 2.91 years b. 2.50 years c. 3.09 years d. 4.00 years Question 30 Not yet answered Marked out of 1.00 Flag question The principle of risk-return tradeoff means that Select one: a. an investor who bought stock in a small corporation five years ago has more money than an investor who bought U.S. Treasury bonds five years ago b. an investor who takes more risk will earn a higher return c. a rational investor will only take on higher risk if he expects a higher return d. higher risk investments must earn higher returns