Your management is evaluating a project which requires an investment of $500,000. The expected inflow is $100,000 for 1st year, and $300,000 for every year after that. What is the payback period
A: 2 year
B: 2 years and 4 month
C: 3 year
D: Cannot be determined because discount rate is not specifie
A: 2 year
B: 2 years and 4 month
C: 3 year
D: Cannot be determined because discount rate is not specifie
举一反三
- What is the payback if the initial investment is $60,000 and the cash flows are? ( )Year 1$20,000Year 2$25,000Year 3$30,000Year 4$10,000Year 5$5,000 A: 1.75 years B: 2.25 years C: 2.50 years D: 2.45 years
- How often were meetings held on the subject of the ICC（） A: the second and third month of each year B: 2 to 3 times every year C: 2 to 3 times a month D: every 2 or 3 years
- A project has the following projected cash inflows.Year 1 100,000Year 2 125,000Year 3 105,000Working capital is required to be in place at the start of each year equal to 10% of the cash inflow for that year. The cost of capital is 10%.What is the present value of the working capital? A: $ Nil B: $(30,036) C: $(2,735) D: $33,000
- The commission rate will be valid for_____________. A: 3 years B: 2 years C: 1 year
- Mansi Inc. is considering a project that has the following cash flow data. What is the project's payback?Year 0 1 2 3Cash flow -450 300 325 350 A: 1.42 years B: 1.36 years C: 1.65 years D: 1.46 years