The payback method helps tirma establish and identify a maximum acceptable payback period that helps in their capital budgeting decisions Consider the case of Cold Goose Metal Works Incit Cold Goose Metal Works Inc. is a small firm, and several of its managers are worried about how soon the firm w be able to recoverib Initial investment from Project Delta's expected future cash flows. To answer this question, Cold Goose's Cho has asked that you compute the project's payback period using the following expected net cash flows and assuming that the cash flows are recried every throughout each year Complete the following table and compute the project's conventional payback period. For ful 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) Year o Year 1 $2,400,000 $6,000,000 Expected cash flow Cumulative cash flow Conventional payback period: Year 2 $5,100,000 15 Year 3 $2.100.000 5 5 Wars The conventional payback period ignores the time value of money, and this concerns Cold Goose's CFO: He has to asked you to compute Deltes discounted payback period, assuming the company has a 7% cost of capital. Complete the following table and perfomany necessary calculations Round the discounted cash flow values to the nearest whole doltar, and the discounted payback period to two decimal places. For het crest, complete the entire table. (Note: 1f your answer is negative, be sure to use a minus sign in your anwer) Year o Year 1 $2,400,000 Year 3 $2.190.000 Cash flow Discounted cash flow Cumulative discounted cash flow Discounted payback period 5 Year 2 $5,100,000 is 3 -56,000,000 15 S year 15 Which version of a project's payback period should the Cro use when evaluating Project Delta, given as theoretica superiority The discounted pwback period The regular payback period Otie theoretical disadvantage of both payback methods-compared to the net present value methods that the tail to consider the walue of the cash flows beyond the point in time equal to the payback period, How much value in this example does the discounted payback period method fol to recognize due to this thetical detector $2,411,755 $3,057,212 $1,214.226 $0,168,764