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Discounted payback period. Given the following two projects and their cash flows, LOADING... , calculate the discounted payback period with a discount rate of 6
Discounted payback period. Given the following two projects and their cash flows, LOADING... , calculate the discounted payback period with a discount rate of 6 %, 12 %, and 15 %. What do you notice about the payback period as the discount rate rises? Explain this relationship. With a discount rate of 6 %, the cash outflow for project A is:(Select the best response.) A. recovered in 5 years. B. recovered in 3.16 years. C. recovered in 3 years. D. never fully recovered.
P9-3 (similar to) 15 Question Help Discounted payback period. Given the following two projects and their cash flows, E, calculate the discounted payback period with a discount rate of 6%, 12%, and 15%. What do you notice about the payback period as the discount rate rises? Explain this relationship. With a discount rate of 6%, the cash outflow for project A is: (Select the best response.) O A. recovered in 5 years. B. recovered in 3.16 years. Data Table O C. recovered in 3 years. D. never fully recovered. (Click on the following icon 2 in order to copy its contents into a spreadsheet.) B Cash Flow Cost Cash flow year 1 Cash flow year 2 Cash flow year 3 Cash flow year 4 Cash flow year 5 Cash flow year 6 $12,000 $4,286 $4,286 $4,286 $4,286 $4,286 $4,286 $100,000 $40,000 $30,000 $20,000 $10,000 $10,000 $0 Print DoneStep by Step Solution
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