Sentinel Company is considering an investment in technology to improve its operations. The investment will require an initial outlay of $249,000 and will yield the following expected cash flows. Management requires investments to have a payback period of 2 years, and it requires a 10% return on investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the table provided.)

Period

Cash Flow

1

$ 48,300

2

53,900

3

76,200

4

95,800

5

125,800

Determine the payback period for this investment. (Enter cash outflows with a minus sign. Round your answer to 1 decimal place.)

Year	Cash inflow (outflow)	Cumulative Net Cash Inflow (outflow)
0	$(249,000)
1
2
3
4
5
Payback period =

Determine the break-even time for this investment. (Enter cash outflows with a minus sign. Round your answer to 1 decimal place.)

Year	Cash inflow (outflow)	Table factor	Present Value of Cash Flows	Cumulative Present Value of Cash Flows
0	$(249,000)
1
2
3
4
5
Break-even time =

Determine the net present value for this investment.

Net present value