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5. As the director of capital budgeting for Atlanta Corporation, you are evaluating one project based on the payback period and discounted payback period. Please
5. As the director of capital budgeting for Atlanta Corporation, you are evaluating one project |
based on the payback period and discounted payback period. Please calculate both |
the payback period and discounted payback period for the following project based on |
a cost of capital of 16%. |
Project | |
Year | Cash Flow |
0 | -80,000 |
1 | 40,000 |
2 | 30,000 |
3 | 25,000 |
4 | 20,000 |
5 | 15,000 |
6 | 10,000 |
Please solve using excel
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