Question: Given the information below for project A: Year Project A Project B 0 (1,000) (1,000) 1 600 600 2 300 300 3 200 200 4

Given the information below for project A:

Year

Project A

Project B

0

(1,000)

(1,000)

1

600

600

2

300

300

3

200

200

4

100

100

5

500

500

What is the payback period for project A? Given a 10% discount, what is the DISCOUNTED payback period for project B?

2.5 years / 3.83 years

3.25 years / 3 years

2.5 years / 2.5 years

3 years / 3.83 years

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