Sierra Company is considering a long-term project called ZIP. ZIP will require an investment of $120,000. It will have a useful life of four years and no salvage value.Annual cash flows would increase by $80,000 and annual cash outflows would increase by $41,000. The companys required rate of return is 12%

Required

1. Calculate the cash payback period.

2. Calculate the net present value of this project and discuss if it should be accepted

3. Calculate the internal rate of return of this project and discuss if it should be accepted