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Consider a project with the net cash flows shown below. The cost of capital for the project is 9.5%.

• Year 0:($81,570)
• Years 1-6$12,950 per year
• Years 7-10$15,450 per year

What is the payback period for the project?

Select one:

a. 5.5 years

b. 6.25 years

c. 7.44 years

d. 8.37 years