The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows: Year Investment Cash Inflow $ 7,000 $14,000 $21, еее $22,000 $25,000 $23,000 $21,000 $19,000 $18,000 $18, е00 1 $68,000 $ 8,000 3 4 5 6. 9. 10 Required: 1. Determine the payback period of the investment. 2. Would the payback period be affected if the cash inflow in the last year were several times as large?
The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows: Year Investment Cash Inflow $ 7,000 $14,000 $21, еее $22,000 $25,000 $23,000 $21,000 $19,000 $18,000 $18, е00 1 $68,000 $ 8,000 3 4 5 6. 9. 10 Required: 1. Determine the payback period of the investment. 2. Would the payback period be affected if the cash inflow in the last year were several times as large?
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Required:
1. Determine the payback period of the investment.
2 Would the payback period be affected if the cash inflow in the last year were several times as large?
Complete this question by entering your answers in the tabs below.
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Required 2
Determine the payback period of the investment. (Round your answer to 1 decimal place.)
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Transcribed Image Text:The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows:
Year
Investment
Cash Inflow
1
$68,000
$ 7,000
$14,000
$21,000
$22,000
$25,000
$23,000
$21,000
$19,000
$18,000
$18,000
$ 8,000
3
5
8
10
Required:
1. Determine the payback period of the investment.
2. Would the payback period be affected if the cash inflow in the last year were several times as large?
Complete this question by entering your answers in the tabs below.
Renuired 1
Reguired 2
Prev
1 of 8
Next >
earch
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