Discounted payback period. Given the following two projects and their cash​ flows, calculate the discounted payback period with a discount rate of 5​%, 10​%, and 15​%. What do you notice about the payback period as the discount rate​ rises? Explain this relationship.     Cash Flow A B     Cost ​ $11,000   ​$90,000     Cash flow year 1 ​$3,929   ​$9,000     Cash flow year 2 ​$3,929   ​$18,000     Cash flow year 3 ​$3,929   ​$27,000     Cash flow year 4 ​$3,929   ​$36,000     Cash flow year 5 ​$3,929   ​$13,500     Cash flow year 6 ​$3,929   ​$0

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.