Consider a project with the following cash flows: Year Cash Flow - 10000 5000 2 5000 3 5000 4 5000 Assume the appropriate discount rate for this project is 15%. The payback period for this project is closest to: A. 3 B. 2.4 C. 1.6 O D. 2

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Consider a project with the following cash flows:
Year
Cash Flow
- 10000
5000
2
5000
3
5000
4
5000
Assume the appropriate discount rate for this project is 15%. The payback period for this project is closest to:
A. 3
B. 2.4
C. 1.6
O D. 2
Transcribed Image Text:Consider a project with the following cash flows: Year Cash Flow - 10000 5000 2 5000 3 5000 4 5000 Assume the appropriate discount rate for this project is 15%. The payback period for this project is closest to: A. 3 B. 2.4 C. 1.6 O D. 2
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