Question: Our company is evaluating a project with the projected future annual cash flows shown as follows and an appropriate cost of capital of 15.0% :

"Our company is evaluating a project with the projected future annual cash flows shown as follows and an appropriate cost of capital of 15.0% : Period 0: $-8,000.; Period 1: $-4,500.; Period 2: $100.; Period 3: $8,300.; Period 4: $4,700.; Period 5: $750.; Compute the Payback statistic for the project and whether the company should accept or reject this project if the maximum allowable payback period is 4.0 years." 4.24 years, Accept" "3.44 years, Reject" 13.44 years, Accept" O "3.87 years, Reject" O "3.87 years, Accept" O "4.24 years, Reject" Insufficient data provided to calculate this statistic
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