Question
Van Auken Inc. is considering a project that has the following cash flows: Year Cash Flow 0 -$1,600 1 500 2 400 3 950 4
| Van Auken Inc. is considering a project that has the following cash flows: | ||||||||
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| Year |
| Cash Flow |
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| 0 |
| -$1,600 |
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| 1 |
| 500 |
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| 2 |
| 400 |
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| 3 |
| 950 |
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| 4 |
| 400 |
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| The companys WACC is 10%. What is the projects ordinary payback? Enter your answer rounded to two decimal places. For example, if your answer is 12.345 then enter as 12.35 in the answer box.
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Financial Institutions Management A Risk Management Approach
Authors: Anthony Saunders, Marcia Cornett, Otgo Erhemjamts
10th Edition
1260013820, 978-1260013825
