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Year Investment A Investment B 1................ $25,000 $40,000 2................ 30,000 40,000 3................ 25,000 28,000 4................ 19,000 5................ 25,000 What is the payback period for investment

Year

Investment A

Investment B

1................

$25,000

$40,000

2................

30,000

40,000

3................

25,000

28,000

4................

19,000

5................

25,000

What is the payback period for investment B, if initial investment is $100,000

2.71 years

3 years

2.98 years

3.5 years

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