You are evaluating a project that will cost $$529,000,$ but is expected to produce cash flows of $$129,000$ per year for $10$ years, with the first cash flow in one year. Your cost of capital is $10\mathrm{.}8\%$ and your company's preferred payback period is three years or less.

a$.$ What is the payback period of this project?

b$.$ Should you take the project if you want to increase the value of the company?