The payback method heips firms establish and identify a maximum acceptable payback period that helps in their capital budgeting decisions. Consider the case of Cute Camel Woodcraft Company: Cute Camel Woodcraft Company is a small firm, and several of its managers are womed about how soen the firm will be able to recover its initial investment from Project Sigma's expected future cash flows. To answer this question, Cute Camel's Cro has asiced that you compute the project's payback period using the following expected net cash fows and assuming that the caih fows are received eveniy throughout each year. Complete the following table and compute the project's conventional payback period. For full credit, complete the entire table. (Note: Round the conventional payback period to two decimal places. If your answer is negative, be sure to use a minus sign in your answer.) The conventional payback period ignores the time value of money, and this concems Cute Camels cro. He has now asked you to compute Sigmas discounted payback period, assuming the company has a 9% cost of capital. Complete the following table and perform any necessary calculations. Round the discounted cash flow values to the nearest whole dollar, and the discounted payback period to two decimar places. For full credit, comple the entire table. (Note: If your answer is negative, be sure to use a minus sign in your answer.) Which version of a project's payback period should the CFO use when evaluating Project Sigma, given its theoretical superianty? The discounted payback period The regular payback period One theoretical disadvantage of both payback methods-compared to the net present value method-fis that thiov fal to ongider che value of the ca flows beyond the point in time equal to the payback period. How much value in this example does the discounted payback period method fal to recognize due to this thecreticai deficency? One theoretical disadvantage of both payback methods-compared to the net present.value method-is that they fail to consider the value of the ea flows beyond the point in time equal to the payback period. How much value in this example does the discounted payback period method fal to racognize due to this theoretical deficiency? 51,763,323 $3,186,183 $4,928,461 51,351,321