The Short$-$Line Railroad is considering a $$130,000$ investment in either of two companies. The cash flows are as follows:

Year Electric Company Water Works

$1$ $ $90,000$ $ $20,000$

$220,00020,000$

$320,00090,000$

$4$ to $1025,00025,000$

Compute the payback period for both companies.

Note: Round your answers to $1$ decimal place.

Which of the investments is superior from the information provided?

multiple choice

Water Works

Electric Company