You are in the copy business and your major competitor recently purchased a color laser copier. You currently do not offer color copies, 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 percent. Based on an analysis of these cash flows, which of the following statements is/are true? The internal rate of return is only 1 percent lower than the required return, indicating a gray area in the decision process, The payback period for this project is 3,1 years. The copier should not be purchased since the net present value is negative $1.379,00 The copier should be purchased since the net present value is $3.500