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A project requires an initial investment of $873,000. The project's cash flows are $230,000 in year 1, $310,000 in year 2, $380,000 in year 3
A project requires an initial investment of $873,000. The project's cash flows are $230,000 in year 1, $310,000 in year 2, $380,000 in year 3 and $380,000 in year four. The required return is 11.8 percent. Calculate the project's payback period.
a. 2.12 years
b. 2.00 years
c. 3.00 years
d. $3.45 years
e. 2.88 years
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