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The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows: Year Investment Cashflow 1 $71,000 $6,000 2
The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows:
Year Investment Cashflow
1 $71,000 $6,000
2 $4,000 $12,000
3 $21,000
4 $22,000
5 $25,000
6 $23,000
7 $21,000
8 $19,000
9 $18,000
10 $18,000
1. Determine the payback period of the investment.(Round your answer to 1 decimal place.)
Would the payback period be affected if the cash inflow in the last year were several times as large? Yes or No?
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