Question: Would you accept the project based on Payback rule if project cut-off is 3 years? Cost of Capital (Discount Rate) 10% Please answer as soon

 Would you accept the project based on Payback rule if project

Would you accept the project based on Payback rule if project cut-off

is 3 years?

Cost of Capital (Discount Rate) 10%

Please answer as soon as possible.

Payback Period Year Count Projected CF Cummulative CF (260,000) $ (260,000) 39,560 $ (220,440) 46,060 $ (174,381) 52,885 $ (121,496) 185,345 $ 63,849 Payback period years Count Discounted Payback Period Present Value Year Projected CF Discount factor (260,000) $ 39,560 46,060 $ 52,885 185,345 Payback period Discounted CF ($260,000) $0 $0 $0 $0 Cummulative CF $ (260,000) (260,000) (260,000) (260,000) (260,000) A A years

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