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Determine the payback period for the following project. (Round your answer to one decimal place.) YearNet Cash Flows per YearCumulative Net Cash Flows Initial investment($350,000)($350,000)
Determine the payback period for the following project. (Round your answer to one decimal place.)
YearNet Cash Flows per YearCumulative Net Cash Flows
Initial investment($350,000)($350,000)
1$35,000($315,000)
2$45,000($270,000)
3$50,000($220,000)
4$55,000($165,000)
5$60,000($105,000)
6$70,000($35,000)
7$80,000$45,000
Requirements:
1.Calculate the year in which the investment is fully recovered.
2.Determine the payback period.
3.Verify the cumulative net cash flows at the end of each year.
4.Identify any anomalies in the net cash flows.
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