Question
A project has cash flows of -$108,000, $52,800, $51,200, and $67,100 for Years 0 to 3, respectively. The required payback period is two years. Based
A project has cash flows of -$108,000, $52,800, $51,200, and $67,100 for Years 0 to 3, respectively. The required payback period is two years. Based on the payback period of _____ years for this project, you should _____ the project.
A. 2.06; reject
B. 1.79; reject
C. 1.98; accept
D. 2.21; accept
E. 2.02; reject
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Analysis for Financial Management
Authors: Robert c. Higgins
8th edition
73041807, 73041803, 978-0073041803
