A construction company is considering procuring one of two types of heavy construction equipment (A and B). Each type of equipment is expected to have a 5-year useful life with zero salvage value. A can be purchased at a cost of $30,000, while B would cost $48,000. The net cash flows for each type of equipment are given below. Year A B

0 -30000 -48000

1 6000 24000

2 6000 10000

3 12000 21000

4 6000 7000

5 25564 26610

Compute the discounted payback period, where i=8% for both pieces of equipment. Hint: For A, PB3= -12,313