Stern Associates is considering a project that has the following cash flow data. What is the project's payback?

Year	0	1	2	3	4	5
Cash flows	-$975	$300	$310	$320	$330	$340

a. 2.54 years

b. 3.61 years

c. 3.83 years

d. 2.42 years

e. 3.14 years