Determine the given problem as per the requirement

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Reference no: EM131795675

Question: Assume the following project cash flows:

Year Cash Flow

0 264,300

1 0

2 50,000

3 150,000

4 200,000

5 200,000

Would you accept or reject this project if your required rate of return is 14% and your decision criteria is a four-year discounted payback?

a. Accept

b. Reject

c. Indifferent (the discounted inflows are exactly or very nearly equal to the Investment)

d. Insufficient information (cannot make a decision)

Reference no: EM131795675

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