Question: You must show work: You are considering a project that has estimated cash flows of: year 1 = $10,000; year 2 = $15,000; year 3=

You must show work:

You are considering a project that has estimated cash flows of: year 1 = $10,000; year 2 = $15,000; year 3= $20,000; year 4 = $25,000; year 5 = $30,000; year 6 = $35,000

The cost of the project is $35,000

What is the payback for the project (8 points)

If all projects must have a minimum payback of 6 years, would you accept the project (1 point)?

If all projects must have a minimum payback of 3 years, would you accept the project (1 point)?

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