Question: You invest $200,000 in a project. Your returns as follows: Annual Net cumulative Net Year Cash Inflow Cash Inflow 1 $70,000 $70,000 2 $70,000 140000
You invest $200,000 in a project. Your returns as follows:
Annual Net cumulative Net
| Year | Cash Inflow | Cash Inflow |
| 1 | $70,000 | $70,000 |
| 2 | $70,000 | 140000 |
| 3 | $80,000 | $220,000 |
| 4 | $50,000 | $270,000 |
| 5 | 30,000 | $300,000 |
Calculate your pay back period.
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Step 12 Pay back period is the Time taken for a Project to recover its Initial cash out flow ... View full answer
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