Required information

[The following information applies to the questions displayed below.] Falcon Crest Aces (FCA), Inc., is considering the purchase of a small plane to use in its wing-walking demonstrations and aerial tour business. Various information about the proposed investment follows:

Initial investment	$	190,000
Useful life	$	10	years
Salvage value		20,000
Annual net income generated	$	4,400
FCA's cost of capital		6	%

Assume straight line depreciation method is used.

2. Help FCA evaluate this project by calculating each of the following: Payback period. (Round your answer to 2 decimal places.)