Question: Recall that Nancy has been charged with evaluating whether WrenMart should buy and operate its own fleet of gas tanker trucks or renew its five-year

Recall that Nancy has been charged with evaluating whether WrenMart should buy and operate its own fleet of gas tanker trucks or renew its five-year gas delivery contract with Fuel Delivery Corp. WrenMart's estimated cost of capital, appropriate for this project, is 8.30% per year. The project's free cash flows are estimated as follows: Buy Gas Delivery Tanker Trucks Free Cash Flow ($ Millions) Year 0 Years 1-4 Year 5 Cash Flow From Operations $0.00 $14.00 $14.00 Investment in Working Capital $0.00 $0.00 $0.00 Capital Expenditures ($100.00) $0.00 ($39.00) Free Cash Flow ($100.00) $14.00 $53.00 Help Nancy by computing the discounted payback period of the project

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