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Suppose your firm is considering investing in a project with the cash flows shown below, that the required rate of return on projects of

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Suppose your firm is considering investing in a project with the cash flows shown below, that the required rate of return on projects of this risk class is 8 percent, and that the maximum allowable payback and discounted payback statistics for the project are 3.5 and 4.5 years, respectively. Time: Cash flow: 0 1 -$5,200 $1,290 2 3 4 5 6 $2,490 $1,690 $1,610 $1,490 $1,290 Use the payback decision rule to evaluate this project. (Round your answer to 2 decimal places.) Payback years Should it be accepted or rejected? O rejected O accepted

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