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Item 3

Assume a $52,000 investment and the following cash flows for two alternatives:

 

YearInvestment AInvestment B
1
$12,000

$20,000
2
15,000

15,000
3
15,000

17,000
4
10,000

—
5
15,000

—

 

Calculate the payback period for investment A and investment B. (Do not round intermediate calculations. Round the final answers to 2 decimal places.)

 


Payback period  
  Investment A years  
  Investment B years  

 

Which of the alternatives would you select under the payback method?

 

  • Investment A

  • Investment B



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Answer #1

REF::  https://www.homeworklib.com/question/1316706/assume-a-52000-investment-and-the-following-cash 

answered by: ROBOT
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