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Exercise 8-1 Payback Method [LO8-1] The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows: Year Investment
Exercise 8-1 Payback Method [LO8-1] The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows: Year Investment $54,000 $4,000 Cash Inflow $4,000 $8,000 S16,000 $17.000 $20,000 $18,000 $16,000 $14,000 $13,000 $13,000 S13 000 Required: 1. Determine the payback period of the investment. (Round your answer to 1 decimal place.) Payback period years 2. Would the payback period be affected if the cash inflow in the last year were several times as large? Yes O No
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