use the following information for project Kohram:

Year	Est Cash Flow (in $thousands)
0	-$500
1	-$25
2	$135
3	$450
4	$630
5	$250

Required rate of return = 22%

1.What is project Kohrmans discount payback period?

A)1.91 years

B)2.87 years

C)3.12 years

D)3.64 years

E)4.53 years

2. Interest rates are climbing quickly, and your cost of capital is climbing. Which of the five choices below is the highest cost of capital you could have and still create wealth by accepting project Kohrman?

A)11% B)18% C)22% D)33% E)44%