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= Homework: Chapter 9 Homework Question 2, P9-3 (similar to) 2, Part 2 of 7 2 > HW Score: 12.35%, 1.11 of 9 points :

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= Homework: Chapter 9 Homework Question 2, P9-3 (similar to) 2, Part 2 of 7 2 > HW Score: 12.35%, 1.11 of 9 points : % Points: 0.11 of 1 O Discounted payback period. Given the following two projects and their cash flows, calculate the discounted payback period with a discount rate of 6%, 12%, and 20%. What do you notice about the payback pe discount rate rises? Explain this relationship. With a discount rate of 6%, the cash outflow for project A is: (Select the best response.) - X Data table A recovered in 2.79 years. OB. recovered in 5 years. OC. recovered in 4 years. OD. never fully recovered. (Click on the following icon in order to copy its contents into a spreadsheet.) With a discount rate of 12%, the cash outflow for project A is: (Select the best response.) O A. recovered in 3.15 years. OB. recovered in 5 years. O C. recovered in 3 years. OD. never fully recovered. Cash Flow Cost Cash flow year 1 Cash flow year 2 Cash flow year 3 Cash flow year 4 Cash flow year 5 Cash flow year 6 $8,000 $3,200 $3,200 $3,200 $3,200 $3,200 $3,200 B $105.000 $10,500 $21,000 $31.500 $42.000 $15.750 $0 Print Done

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