Question: If you have the following data about Project A, Project B and Project C, where the investment cost for each is 125,000 , and the
If you have the following data about Project A, Project B and Project C, where the investment cost for each is 125,000 , and the expected net cash flows are as follows:
1- Find the payback period. 2- Sort the investments according to payback period
| Investment | First year | Second year | Third year | Forth year | Five year |
| a | 40000 | 30000 | 40000 | 30000 | 40000 |
| b | 50000 | 50000 | 50000 | 50000 | 50000 |
| c | 30000 | 40000 | 25000 | 30000 | 50000 |
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
