You are evaluating a project that will cost $600,000, but is expected to produce cash flows of $150,000 per year for 10 years, with the first cash flow in one year. Your cost of capital is 11% and your company's preferred payback period is three years or less. a. What is the payback period of this project? b. Consider your cost of capital - should you take the project if you want to increase the value of the company