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Given the following four projects and their cash flows, calculate the discounted payback period with a 5% discount rate discount rate. Cash Flow A B
- Given the following four projects and their cash flows, calculate the discounted payback period with a 5% discount rate discount rate.
Cash Flow | A | B | C | D |
Cost | $ 10,000 | $ 25,000 | $ 45,000 | $ 100,000 |
Cash flow year 1 | $ 4,000 | $ 2,000 | $ 10,000 | $ 40,000 |
Cash flow year 2 | $ 4,000 | $ 8,000 | $ 15,000 | $ 30,000 |
Cash flow year 3 | $ 4,000 | $ 14,000 | $ 20,000 | $ 20,000 |
Cash flow year 4 | $ 4,000 | $ 20,000 | $ 20,000 | $ 10,000 |
Cash flow year 5 | $ 4,000 | $ 26,000 | $ 15,000 | $ - |
Cash flow year 6 | $ 4,000 | $ 32,000 | $ 10,000 | $ - |
PLEASE SHOW ME ALL THE STEPS, I'M TRYING TO LEARN THE BASICS OF IT. THANK YOU!
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