Question
MontyCorp. is considering the purchase of a piece of equipment that costs $25000. Projected net annual cash flows over the project's life are: YearNet Annual
MontyCorp. is considering the purchase of a piece of equipment that costs $25000. Projected net annual cash flows over the project's life are:
YearNet Annual Cash Flow
1 $7000
2 10000
3 10000
4 11000
The cash payback period is
2.40years.
2.80years.
1.96years.
2.64years.
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Cornerstones Of Cost Accounting
Authors: Don Hansen, Maryanne M. Mowen
1st Edition
053873678X, 978-0538736787
