Question
An anticipated investment of $400,000 is expected to yield the following annual operating income and net cash flow: Year Operating Income Net Cash Flow 1
An anticipated investment of $400,000 is expected to yield the following annual operating income and net cash flow:
| Year | Operating Income | Net Cash Flow |
| 1 | $60,000 | $140,000 |
| 2 | 50,000 | 130,000 |
| 3 | 50,000 | 130,000 |
| 4 | 40,000 | 90,000 |
| 5 | 40,000 | 90,000 |
| 6 | 40,000 | 90,000 |
| 7 | 40,000 | 90,000 |
| 8 | 40,000 | 90,000 |
What is the payback period?
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Financial Accounting An Introduction to Concepts, Methods and Uses
Authors: Roman L. Weil, Katherine Schipper, Jennifer Francis
14th edition
978-1111823450, 1-133-36617-1 , 1111823456, 978-1-133-3661, 978-1133591023
