The management of Kawneer North America is considering investing in a new facility and the following cash flows are expected to result from the investment:

What is the payback period of this uneven cash flow? _____ Years

Does your answer change if year 10s cash inflow changes to $500,000? Yes/No

\begin{tabular}{|c|c|c|} \hline Year & Cash Outflow & Cash Inflow \\ \hline 1 & $1,900,000 & $100,000 \\ \hline 2 & 550,000 & 200,000 \\ \hline 3 & & 360,000 \\ \hline 4 & & 480,000 \\ \hline 5 & & 510,000 \\ \hline 6 & & 600,000 \\ \hline 7 & & 590,000 \\ \hline 8 & & 300,000 \\ \hline 9 & & 250,000 \\ \hline 10 & & 250,000 \\ \hline \end{tabular}