Solve the payback period in this problem. Your company plans to invest in a project that has
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Solve the payback period in this problem. Your company plans to invest in a project that has a $5000 initial outlay. It is estimated that the project will provide regular cash inflows of 1500 in year 1, 2000 in year 2, 800 in year 3, 350 in year 4, and 700 in year 5. If a company has a target payback of 4 years, do you recommend that this project be accepted?
Related Book For
Financial Management Theory and Practice
ISBN: 978-1305632295
15th edition
Authors: Eugene F. Brigham, Michael C. Ehrhardt
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