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Question 1 An initial amount of RM 2,000,000 is expected to generate RM 500,000 per year for 6 years. Calculate the discounted payback period of the amount if the discounted payback period is 11%.

Question 1 An initial amount of RM 2,000,000 is expected to generate RM 500,000 per year for 6 years. Calculate the discounted payback period of the amount if the discounted payback period is 11%.

Essentials Of Investments
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
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Question 1 An initial amount of RM 2,000,000 is expected to generate RM 500,000 per year for 6 years. Calculate the discounted payback period of the amount if the discounted payback period is 11%. Question 2 An initial investment of RM 50,000 is expected to generate RM 10,000 per year for 8 years. Calculate the discounted payback period of the investment if the discount rate is 11%. Year 1 2 3 4 5 6 7 8 Cash Flow (RM) 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000
Transcribed Image Text:Question 1 An initial amount of RM 2,000,000 is expected to generate RM 500,000 per year for 6 years. Calculate the discounted payback period of the amount if the discounted payback period is 11%. Question 2 An initial investment of RM 50,000 is expected to generate RM 10,000 per year for 8 years. Calculate the discounted payback period of the investment if the discount rate is 11%. Year 1 2 3 4 5 6 7 8 Cash Flow (RM) 10,000 10,000 10,000 10,000 10,000 10,000 10,000 10,000
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