Question
Compute the payback statistic for Project B if the appropriate cost of capital is 12 percent and the maximum allowable payback period is three years.
| Compute the payback statistic for Project B if the appropriate cost of capital is 12 percent and the maximum allowable payback period is three years. (Round your answer to 2 decimal places. If the project never pays back, then enter a "0" (zero).) |
| Project B | ||||||
| Time: | 0 | 1 | 2 | 3 | 4 | 5 |
| Cash flow | $11,000 | $3,350 | $4,180 | $1,520 | $0 | $1,000 |
| Payback | years |
| Should the project be accepted or rejected? |
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Rich Dads Increase Your Financial IQ Get Smarter With Your Money
Authors: Robert T. Kiyosaki
1st Edition
1612680658, 978-1612680651
