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Young Corporation is considering purchasing equipment that costs $80,000 and is expected to provide the following cash inflows over its 5 year useful life: Year
Young Corporation is considering purchasing equipment that costs $80,000 and is expected to provide the following cash inflows over its 5 year useful life:
| Year | Cash inflow |
| 1 | 18,000 |
| 2 | 22,000 |
| 3 | 24,000 |
| 4 | 16,000 |
| 5 | 9,000 |
What is the payback period of this invstment project (rounded to the nearest year)?
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