Cash Payback Method This method identifies how long it will take (in years) to recover the initial investment V. The particulars of the method vary depending on whether the cash flows from an investment are even or uneven. Cash Payback Method (Even cash flows) Suppose that a particular investment required an up-front capital outlay of $100,000. This investment is expected to yield cash flows of $15,000 per year for 10 years. What is the payback period for this investment? If required, round your answer to two decimal places. Cash Payback Period - years
Cash Payback Method This method identifies how long it will take (in years) to recover the initial investment V. The particulars of the method vary depending on whether the cash flows from an investment are even or uneven. Cash Payback Method (Even cash flows) Suppose that a particular investment required an up-front capital outlay of $100,000. This investment is expected to yield cash flows of $15,000 per year for 10 years. What is the payback period for this investment? If required, round your answer to two decimal places. Cash Payback Period - years
Chapter11: Capital Budgeting And Risk
Section: Chapter Questions
Problem 8P
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