5 a. What is the payback period (Be exact to 1 decimal place) of the cash flow below? 2300 2300 2100 2100 1900 1700 1900 1700 1500 1500 o 1 2 3 4 5 e7 8 9 10 11 12 1800 2000 10000 5 b. A project has the following costs and benefits. What is the payback period (Be exact to 1 decimal place)? Year Cost Benefits 30,000 1-3 15,000 each year 12,000 each year 4 7,000 3,000 5-10 11,000 each year
5 a. What is the payback period (Be exact to 1 decimal place) of the cash flow below? 2300 2300 2100 2100 1900 1700 1900 1700 1500 1500 o 1 2 3 4 5 e7 8 9 10 11 12 1800 2000 10000 5 b. A project has the following costs and benefits. What is the payback period (Be exact to 1 decimal place)? Year Cost Benefits 30,000 1-3 15,000 each year 12,000 each year 4 7,000 3,000 5-10 11,000 each year
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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5 a. What is the payback period (Be exact to 1 decimal place) of the cash flow below? (I am attaching an image for the figure)
5 b. A project has the following costs and benefits. What is the payback period (Be exact to 1 decimal place)?
Year Cost Benefits
0 30000
1-3 15,000 each year 12,000 each year
4 7000 3000
5-10 11,000 each year
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