Ribelin Corporation is adding a new product line that will require an investment of $218,000. The product line is estimated to generate cash infl $32,000 the first year, $18,000 the second year, and $21,000 each year thereafter for ten more years. What is the payback period? OA 8.56 years OB. 10.42 years OC. 10.00 years OD. 11.17 years
Ribelin Corporation is adding a new product line that will require an investment of $218,000. The product line is estimated to generate cash infl $32,000 the first year, $18,000 the second year, and $21,000 each year thereafter for ten more years. What is the payback period? OA 8.56 years OB. 10.42 years OC. 10.00 years OD. 11.17 years
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Transcribed Image Text:Ribelin Corporation is adding a new product line that will require an investment of $218,000. The product line is estimated to generate cash inflows of
$32,000 the first year, $18,000 the second year, and $21,000 each year thereafter for ten more years. What is the payback period?
OA. 8.56 years
OB. 10.42 years
OC. 10.00 years
OD. 11.17 years
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