Question
Suppose a company had an initial investment of $50,000. The cash flow for the next five years are $10,000, $13,000, $15,000, $13,000, and $15,000, respectively.
Suppose a company had an initial investment of $50,000. The cash flow for the next five years are $10,000, $13,000, $15,000, $13,000, and $15,000, respectively.
What is the payback period? (Enter your answer rounded to 2 DECIMAL PLACES)
If the firm accepts projects with payback periods 3 years or less, will this project be accepted?
| Yes | No |
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International Finance Theory And Policy
Authors: Paul R. Krugman, Maurice Obstfeld, Marc J Melitz,
11th Edition
013451954X, 9780134519548
