Question: 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

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

Cash Flow time

-$1,450 0

$250 1

$380 2

$620 3

$1,000 4

$100 5

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