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A company is considering investing in loading equipment

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A company is considering investing in loading equipment. The project would require an investment of $93626 and would have a useful life of 4 years. The cash flows associated with the project are the following:

 

Year

Cash Flow

 

 

1

$50783

 

 

2

21666

 

 

3

46450

 

 

4

29105

 

 

 

What would the payback period of the project be?

Select one:

a) 3.46 years

b) 3.00 years

c) 1.84 years

d) 2.46 years