Ostermeyer Corporation Is Considering a Project That Would Require an Initial

Essay

Ostermeyer Corporation is considering a project that would require an initial investment of $247,000 and would last for 7 years. The incremental annual revenues and expenses for each of the 7 years would be as follows (Ignore income taxes.):
At the end of the project, the scrap value of the project's assets would be $16,000.Required:Determine the payback period of the project.