You are in the copy business and your major competitor recently purchased a color laser copier. You currently do not offer color coples, so you are considering a similar purchase. You estimate the following incremental cash flows if a purchase is made: Cost of copier $23,000; 9,000 copies per year with a net after-tax inflow of $0.65 per copy: Five-year life of copier with no salvage value; and The project's required return is equal to 11%. Based on an analysis of these cash flows, which of the following statements is/are true? The payback period for this project is 3.1 years. The copler should not be purchased since the net present value is negative $1.379.00 The internat rate of return is only 1 percent lower than the required return, Indicating a gray area in the decision process. The copier should be purchased since the net prese value is $3,500