What is the payback period for a project with the following cash flows? Year 0 1 2 3 4 2.56 years O2.89 years 3.08 years 3.48 years Never Cash Flow -$75,000.00 $ 15,000.00 $ 23,000.00 $ 25,000.00 $ 25,000.00

What is the payback period for a project with the following cash flows? Year 0 1 2 3 4 2.56 years O2.89 years 3.08 years 3.48 years Never Cash Flow -$75,000.00 $ 15,000.00 $ 23,000.00 $ 25,000.00 $ 25,000.00

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter12: Capital Investment Decisions

Section: Chapter Questions

Problem 5MCQ: An investment of 1,000 produces a net cash inflow of 500 in the first year and 750 in the second...

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Question

What is the payback period for a project with the following cash flows?
Year
0
1
2
3
4
2.56 years
O2.89 years
3.08 years
3.48 years
Never
Cash Flow
-$75,000.00
$ 15,000.00
$ 23,000.00
$ 25,000.00
$ 25,000.00

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