Question
A project requires an initial investment of $100,000. The project will produce cash flows of $19,000 each year for the next 8 years. Calculate the
A project requires an initial investment of $100,000. The project will produce cash flows of $19,000 each year for the next 8 years. Calculate the project's payback period. The required rate of return is 10 percent.
| A. | 5.77 years | |
| B. | 4.83 years | |
| C. | 4.23 years | |
| D. | 5.26 years |
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Finance And Economics Discussion Series Specification Analysis Of Structural Credit Risk Models
Authors: United States Federal Reserve Board, Jing Zhi Huang, Hao Zhou
1st Edition
1288706871, 9781288706877
