Question

Stenson, Inc., imposes a payback cutoff of three years for its international investment projects. Assume the...

Stenson, Inc., imposes a payback cutoff of three years for its international investment projects. Assume the company has the following two projects available.
Year Cash Flow A Cash Flow B
0 –$ 47,000 –$ 92,000     
1 18,000      20,000     
2 24,200      25,000     
3 20,000      34,000     
4 6,000      248,000     

What is the payback period for each project? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

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