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What is the payback bailout period

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Reference no: EM132841176

Question - Margaret Company has an initial cost of investment amounting to P225,000 and expects the following cash inflows:

Year

NET OPERATING CI

SALVAGE VALUE

1

P60,000

P150,000

2

45,000

105,000

3

37,500

90,000

4

30,000

75,000

5

30,000

45,000

6

30,000

15,000

Required - What is the payback bailout period?

Reference no: EM132841176

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