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Vyshali is evaluating an investment costing $ 5 5 , 0 0 0 that has cash flows of $ 3 5 , 0 0 0

Vyshali is evaluating an investment costing $55,000 that has cash flows of $35,000 in Year 2, $36,000 in Year 3, and $5,000 in Year 4. Her employer requires a rate of return of 8 percent and has a required discounted payback period of three years. Should this project be accepted? Why?Group of answer choicesYes; The project pays back on a discounted basis within the assigned time period and also produces a positive NPV.Yes; The discounted payback requirement is met and other methods of analysis are less desirable.No; Although the project earns more than 8 percent, there is no situation where the project can pay back on a discounted basis within three years.No; The discounted payback period is too short.No; The NPV indicates rejection as does discounted payback when all cash flows are considered.

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