Feg INC. is considering a project that has the following cash flow. What is the project’s...

Question

Question

Feg INC. is considering a project that has the following cash flow. What is the project’s discounted payback? The WACC is 10%.

Year Cash flow from project

0 -$700

1 $400

2 $500

3 $200

Answer 1

Answer #1

(p) (q) (p) x (q) Year PVF @ 10% Cash Flow Present Cumulative Value Present Value ON m. 1.00000 0.90909 0.82645 0.75131 $700

Answer 2

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