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 7 percent, and that the maximum allowable payback and discounted payback statistics for the project are 3.5 and 4.5 years, respectively.

Time:0123456Cash flow-$5,300$1,300$2,500$1,700$1,700$1,500$1,300

Use the PI decision rule to evaluate this project.(Do not round intermediate calculations. Round your final answer to 2 decimal places.)

PI