Solution-Compute what is the payback period in years

Compute what is the payback period in years

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Reference no: EM132769094

A company invests in a new project that has an initial outlay of $375855. The project will generate annual net cash flows of $127202 over a period of 8 years. The after-tax cost of capital is 12%.

Problem 1: What is the payback period (in years)?

Select one:

a. 1.95
b. 2.95
c. 3.93
d. 8.00

Reference no: EM132769094

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Compute what is the payback period in years

Reference no: EM132769094

Reference no: EM132769094

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