Question
Estimate the payback period and discounted payback period for the following cash flows with a discount rate of 7%. Data Year : Initial investment, 1,
Estimate the payback period and discounted payback period for the following cash flows with a discount rate of 7%.
Data- Year: Initial investment, 1, 2, 3, 4, 5
- Net Cash Flows per Year: -130000, 25000, 30000, 35000, 40000, 45000
- Cumulative Net Cash Flows: -130000, -105000, -75000, -40000, 0, 45000
- Payback period
- Discounted Payback period
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Cost Accounting A Managerial Emphasis
Authors: Srikant M. Datar, Madhav V. Rajan, Charles T. Horngren, Louis Beaubien, Chris Graham
7th Canadian Edition
133138445, 978-0133926330, 133926338, 978-0133138443
