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Sky Enterprises is considering an investment project with the following cash flows: Year Cash Flow 0 -$100,000 1 30,000 2 40,000 3 60,000 4 90,000

Sky Enterprises is considering an investment project with the following cash flows:

Year Cash Flow

0 -$100,000

1 30,000

2 40,000

3 60,000

4 90,000

The company has a 7% cost of capital. What is the projects discounted payback period?

A. 2.76 years B. 1.86 years C. 1.86 years D. 1.67 years E. more than 3 years

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