Question
Show your work and provide the formulas used. For the two projects below, determine the acceptable projects based on the following: Payback Period Project A
Show your work and provide the formulas used.
For the two projects below, determine the acceptable projects based on the following:
Payback Period
| Project A | Project B | |||||
| Year | Net Income | Cash Flow | Net Income | Cash Flow | ||
| 0 | $(15,000) | $(19,000) | ||||
| 1 | $5,000 | $6,000 | $3,000 | $4,000 | ||
| 2 | $5,000 | $6,000 | $5,000 | $6,000 | ||
| 3 | $5,000 | $6,000 | $7,000 | $8,000 | ||
| 4 | $5,000 | $6,000 | $11,000 | $12,000 |
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Computational Finance And Its Applications
Authors: C. A. Brebbia, M. Costantino
1st Edition
1853127094, 978-1853127090
