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! Required information [The following information applies to the questions displayed below.) Cardinal Company is...

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Accounting

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! Required information [The following information applies to the questions displayed below.) Cardinal Company is considering a five-year project that would require a $2,870,000 investment in equipment with a useful life of five years and no salvage value. The company's discount rate is 12%. The project would provide net operating income in each of five years as follows: $2,861,000 1,101,000 1,760,000 Sales Variable expenses Contribution margin Fixed expenses: Advertising, salaries, and other fixed out-of-pocket costs Depreciation Total fixed expenses Net operating income $705,000 574,000 1,279,200 $ 481,000 Click here to view Exhibit 14B-1 and Exhibit 148-2. to determine the appropriate discount factor(s) using table. 7. What is the project's payback period? (Round your answer to 2 decimal places.) Project's payback period years

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