Discounted pay back method which is the time needed to pay back the original investment in terms of discounted future cash flows.

Define the technique.

Discuss the difference between the two methods.

Use a 10% discount rate

Year	Project A	Project B	Project C
2018	($3,000,000)	($3,000,000)	($3,200,000)
2019	$0	$975,000	$985,000
2020	$600,000	$975,000	$925,000
2021	$900,000	$975,000	$1,000,000
2022	$3,000,000	$1,000,000	$950,000