Question
Based on the cash flows of the following projects A, B and C and given that you will use payback cutoff period of 3 years,
Based on the cash flows of the following projects A, B and C and given that you will use payback cutoff period of 3 years, which project or projects would you accept?
|
| C0 | C1 | C2 | C3 | C4 |
| A | -6000 | 1000 | 2000 | 1000 | 2000 |
| B | -4000 | 1000 | 1000 | 1000 | 1000 |
| C | -5000 | 3000 | 2000 | 1000 | 1000 |
| Accept Project B only | ||
| Accept Project C only | ||
| Accept Project B and C | ||
| Accept Project A and C | ||
| Accept Project A only |
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Focus On Personal Finance
Authors: Jack Kapoor, Les Dlabay, Robert J. Hughes, Melissa Hart
7th Edition
1265521972, 978-1265521974
