Your company is considering undertaking a project to expand an existing product line. The required rate of return on the project is 8% and the maximum allowable payback period is 3 years.
Time
0
1
2
3
4
5
6
Cash Flow
$(10,000)
$2,400
$4,800
$3,200
$2,800
Evaluate the project using the following method.
should the project be accepted or rejected?
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