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A project costs $400,000. The amount of cash in flows expected from the new opportunity are: Year-1 cash Inflow: $125,000 Year-2 cash Inflow: $200,000 Year-3

  1. A project costs $400,000. The amount of cash in flows expected from the new opportunity are:
  • Year-1 cash Inflow: $125,000
  • Year-2 cash Inflow: $200,000
  • Year-3 cash Inflow: $150,000
  • Year-4 cash Inflow: $225,000
  • What is the project's modified payback period? a. 2 years
  • b. 2.75 years
  • c. 2.5 years
  • d. Some other answer

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