You Are Considering a Project with an Initial Cost of $4,300

Multiple Choice

You are considering a project with an initial cost of $4,300. What is the payback period for this project if the cash inflows are $550, $970, $2,600, and $500 a year over the next four years,
Respectively?

A) 2.04 years
B) 2.36 years
C) 2.89 years
D) 3.04 years
E) 3.36 years