Nakamichi Bancorp has made an investment in banking software at a cost of $1,655,438. Management expects productivity gains and cost savings over the next several years. If, as a result of this investment, the firm is expected to generate additional cash flows of $629,533, $794,591, $485,013, and $369,752 over the next four years, what is the investment’s payback period? (Round answer to 2 decimal places, e.g. 15.25.) Payback period is __________years
Nakamichi Bancorp has made an investment in banking software at a cost of $1,655,438. Management expects productivity gains and cost savings over the next several years. If, as a result of this investment, the firm is expected to generate additional cash flows of $629,533, $794,591, $485,013, and $369,752 over the next four years, what is the investment’s payback period? (Round answer to 2 decimal places, e.g. 15.25.) Payback period is __________years
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
Section: Chapter Questions
Problem 1PS
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Nakamichi Bancorp has made an investment in banking software at a cost of $1,655,438. Management expects productivity gains and cost savings over the next several years. If, as a result of this investment, the firm is expected to generate additional cash flows of $629,533, $794,591, $485,013, and $369,752 over the next four years, what is the investment’s payback period? (Round answer to 2 decimal places, e.g. 15.25.)
| Payback period is |
|
__________years |
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