Question
A project with an initial cost of $81,000 is expected to produce cash flows of $20,000 per year and net income of $9,000 for each
A project with an initial cost of $81,000 is expected to produce cash flows of $20,000 per year and net income of $9,000 for each of the next 7 years. The asset has an estimated 7-year life and a $4,000 salvage value. What is the projected payback period?
| 4.05 years | ||
| 9.0 years | ||
| 0.25 years | ||
| 7.0 years |
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Governmental Accounting
Authors: Steven M. Bragg
2022nd Edition
1642210781, 978-1642210781
