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Compute the payback statistic for Project A if the appropriate cost of capital is 7 percent and the maximum allowable payback period is four years.
| Compute the payback statistic for Project A if the appropriate cost of capital is 7 percent and the maximum allowable payback period is four years. (Round your answer to 2 decimal places.) |
| Project A | ||||||
| Time: | 0 | 1 | 2 | 3 | 4 | 5 |
| Cash flow | $2,600 | $990 | $960 | $840 | $620 | $420 |
| Payback | years |
| Should the project be accepted or rejected? | ||||
|
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The Investment Code Ancient Jewish Wisdom For The Wise Investor
Authors: H. W. Charles
1st Edition
1533423466, 978-1533423467
