Elysian Fields, Inc., uses a maximum payback period of 6 years and currently must choose between two mutually exclusive projects. Project Hydrogen requires an initial outlay of $30,000; project Helium requires an initial outlay of $34,000. Using the expected cash inflows given for each project in the following table, E, calculate each project's payback period. Which project meets Elysian's standards? The payback period of project Hydrogen is years. (Round to two decimal places.) Data Table (Click on the icon here D in order to copy the contents of the data table below into a spreadsheet.) Expected cash inflows Year Hydrogen $7,000 $5,500 $8,000 $4,000 $4,000 $2,500 Helium $7,000 $8,000 $7,000 $5,000 $6,000 $4,500 1 3 4 5 Print Done

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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Elysian Fields, Inc., uses a maximum payback period of 6 years and currently must choose between two mutually exclusive projects. Project Hydrogen requires an initial outlay of $30,000; project Helium requires an
initial outlay of $34,000. Using the expected cash inflows given for each project in the following table, E, calculate each project's payback period. Which project meets Elysian's standards?
The payback period of project Hydrogen is
years. (Round to two decimal places.)
Data Table
(Click on the icon here D in order to copy the contents of the data table below
into a spreadsheet.)
Expected cash inflows
Year
Hydrogen
$7,000
$5,500
$8,000
$4,000
$4,000
$2,500
Helium
$7,000
$8,000
$7,000
$5,000
$6,000
$4,500
1
3
4
5
Print
Done
Transcribed Image Text:Elysian Fields, Inc., uses a maximum payback period of 6 years and currently must choose between two mutually exclusive projects. Project Hydrogen requires an initial outlay of $30,000; project Helium requires an initial outlay of $34,000. Using the expected cash inflows given for each project in the following table, E, calculate each project's payback period. Which project meets Elysian's standards? The payback period of project Hydrogen is years. (Round to two decimal places.) Data Table (Click on the icon here D in order to copy the contents of the data table below into a spreadsheet.) Expected cash inflows Year Hydrogen $7,000 $5,500 $8,000 $4,000 $4,000 $2,500 Helium $7,000 $8,000 $7,000 $5,000 $6,000 $4,500 1 3 4 5 Print Done
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