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A project has an initial cost of $8,900 and produces cash inflows of $2,700, $4,900, and...

A project has an initial cost of $8,900 and produces cash inflows of $2,700, $4,900, and $1,500 over the next three years, respectively. What is the discounted payback period if the required rate of return is 7 percent? a. 2.98 years b. 2.28 years c. 2.14 years d. 2.87 years e. never

Can you show me how to do this in excel? Thank you

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Answer #1

o PVF: 7.0% Year Cash flow P.V.Factor Discounted C.F Cumulative cash flows | (8,900.00) (8,900) (8,900)| 2,700.00 0.93457944

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