Jennings Creations Jennings Creations Is Considering an Investment in a Computer That

Jennings Creations
Jennings Creations is considering an investment in a computer that is capable of producing various images that are useful in the production of commercial art.The computer would cost $20,000 and have an expected life of eight years.The computer is expected to generate additional annual net cash receipts (before-tax) of $6,000 per year.The computer will be depreciated according to the straight-line method and the firm's marginal tax rate is 25 percent.
Refer to Jennings Creations.What is the after-tax payback period for the computer project?

A) 7.62 years
B) 3.90 years
C) 4.44 years
D) 3.11 years