Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

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

  1. 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!

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Globalization Gating And Risk Finance

Authors: Unurjargal Nyambuu, Charles S. Tapiero

1st Edition

1119252652, 978-1119252658

More Books

Students also viewed these Finance questions

Question

assess the infl uence of national culture on the workplace

Answered: 1 week ago