Your friend needs help with their homework. They need to compute the payback period on a proposed…

Your friend needs help with their homework. They need to compute the
payback period on a proposed capital budgeting project — a new wind
turbine? The expected cash flows appear below. Your friend is not sure
whether they must use the required rate of return of 19.8% in computing
the answer. What is the payback period? Your friend in counting on you.
(Answer in years, rounding to 2 decimals)

Year 0 cash flow = -148,000

Year 1 cash flow = 25,000

Year 2 cash flow = 25,000

Year 3 cash flow =
25,000

Year 4 cash flow = 25,000

Year 5 cash flow = 25,000

Year 6 cash
flow = 25,000

Year 7 cash flow = 25,000

Year 8 cash flow = 25,000