What is the discounted payback period of a project requiring an initial investment of $12,000 and producing daily positive cash flows that are summarized as $7000 at the end of each of the next 4 years (i.e., t = 1, t = 2, t=3, and t = 4). Assume the cost of capital is 17% per year. Choose the closest to answer.
a. 1.71 years
b. 2.79 years
c. 2.26 years
d. 2.21 years