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Use the following information to answer the next question(s). Sunny Flowers is considering the purchase of a small business that costs $500,000. Sunny plans to

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Use the following information to answer the next question(s). Sunny Flowers is considering the purchase of a small business that costs $500,000. Sunny plans to sell stock valued at $250,000. The stock would pay dividends of $20,000 per year. Sunny would borrow the remaining $250.000 from a local bank at 12 percent interest. The business is expected to generate annual cash inflows of $80,000. Duane plans to operate the business for 15 years and then turn it over to his son. Payback for the project is Select one: A 7.96 years. B. 6.11 years. 8.33 years D. 6.25 years

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