Question
6: A firm is evaluating a potential investment that is expected to generate cash flows of $100 in years 1 through 4 and $400 in
6: A firm is evaluating a potential investment that is expected to generate cash flows of $100 in years 1 through 4 and $400 in years 5 through 7. The initial investment is $750. What is the payback for this investment?
A: 4.88 years
B: 4.48 years
C: 5.88 years
D: 5.48 years
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Fundamentals of Multinational Finance
Authors: Michael H. Moffett, Arthur I. Stonehill, David K. Eiteman
5th edition
205989756, 978-0205989751
