Question: Consider a project with $150,000 initial cost (year 0), cash inflows of $45,200 per year for 5 years (end of each year), and a discount

Consider a project with $150,000 initial cost (year 0), cash inflows of $45,200 per year for 5 years (end of each year), and a discount rate of 10%. What is the (straight) payback period?Given your answer in the last question and that you want to use the payback rule with a cutoff period of 3 years, would you accept the project?What is the discounted payback period if the opportunity cost of capital (OCC) is 10%?Whats the profitability index of the project in the previous question, if the opportunity cost of capital is 10%?

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