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.

Project x

Time 0 1 2 3 4 5

Cashflow -$1,450 $250 $380 $620 $1,000 $100

If the discounted payback period were computed, identify if it would be less than, equal to, or greater than the non-discounted payback period.