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Homework: Chapter 8 Homework (Copy) Question 9, P 8- 27 (similar to) Part 1 of 3 HW Score: 91.67%, 12.83 of 14 points Points: 0.33
Homework: Chapter 8 Homework (Copy) Question 9, P 8- 27 (similar to) Part 1 of 3 HW Score: 91.67%, 12.83 of 14 points Points: 0.33 of 1 Save You are considering making a movie. The movie is expected to cost $10.9 million up front and take a year to produce. After that, it is expected to make $4.8 million in the year it is released and $2.1 million for the following four years. What is the payback period of this investment? If you require a payback period of two years, will you make the movie? Does the movie have positive NPV if the cost of capital is 10.5%? What is the payback period of this investment? The payback period is years. (Round to one decimal place.)
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