Question
Masulis Inc. is considering a project that has the following cash flow and WACC data. What is the project's discounted payback? WACC: 10.00% Year 0
Masulis Inc. is considering a project that has the following cash flow and WACC data. What is the project's discounted payback?
| WACC: | 10.00% | ||||
| Year | 0 | 1 | 2 | 3 | 4 |
| Cash flows | -$1,300 | $525 | $485 | $445 | $405 |
Select one:
a. 2.62 years
b. 3.32 years
c. 2.75 years
d. 3.42 years
e. 3.05 years
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
11th edition
324422870, 324422873, 978-0324302691
