Question: 2. Compute the payback period statistic for Project X and recommend whether the firm should accept or reject the project with the cash flows shown
2. Compute the payback period statistic for Project X and recommend whether the firm should accept or reject the project with the cash flows shown in the chart if the maximum allowable payback is four years.
| Year | Cash Flow | |
| 0 | -$1,450 | |
| 1 | $250 | |
| 2 | $380 | |
| 3 | $620 | |
| 4 | $1,000 | |
| 5 | $100 | |
| Payback period = | [Answer here] |
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