A Project Has Cash Flows of -$108,000, $52,800, $53,200, and $83,100

Multiple Choice

A project has cash flows of -$108,000, $52,800, $53,200, and $83,100 for Years 0 to 3, respectively. The required payback period is two years. Based on the payback period of ________ years for this project, you should ________ the project.

A) 1.98; accept
B) 1.79; accept
C) 2.46; accept
D) 2.02; reject
E) 2.29; reject