Suppose you acquired a SubShop sandwich restaurant for $100,000. The anticipated cash flows, which are shown below, are distributed evenly throughout each year. Your required return is 8% per year.

Annual Cash Flow
Year 0	-$120,000
Year 1	60,000
Year 2	30,000
Year 3	60,000
Year 4	10,000

Which is the following is a true statement:

a. The net present value of this investment is $26,256.

b. The payback of this investment is 1.5 years.

c. The profitability index of this investment is 1.14

d. Because of the nonconventional cashflows, the IRR cannot be determined in this case.

e. None of the above is a true statement.