q9

Using the information found under the Chapter 11 (Capital Budgeting) section, please calculate Payback Period (in years) for Project X. Please round you answer to the nearest hundredth (two decimal places). For Chapter 11 (Capital Budgeting) Questions: Assume initial investment is $100,000 for all three projects: Project X Project Y Project Z Year Cash Flows Cash Flows Cash Flows 1 30,000 30,000 10,000 2 20,000 30,000 30,000 3 20,000 20,000 40,000 u A w N 4 30,000 10,000 20,000 5 10,000 20,000 40,000 Also assume that cost of capital is 6.0% for all three projects