Question
Assume a $210,000 investment and the following cash flows for two products: Year Product X Product Y 1 $ 60,000 $ 60,000 2 90,000 40,000
| Assume a $210,000 investment and the following cash flows for two products: |
| Year | Product X | Product Y | ||||
| 1 | $ | 60,000 | $ | 60,000 | ||
| 2 | 90,000 | 40,000 | ||||
| 3 | 60,000 | 80,000 | ||||
| 4 | 40,000 | 60,000 | ||||
| | ||||||
| (a) | Calculate the payback for products X and Y. (Round your answers to 2 decimal places.) |
| Payback period | ||
| Product X | years | |
| Product Y | years | |
| | ||
| (b) | Which alternative would you select under the payback method? | ||||
|
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
The Palgrave International Handbook Of Basic Income
Authors: Malcolm Torry
1st Edition
3030236137, 978-3030236137
