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What is the payback period of the investment

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You are considering opening a bubble tea shop near the new campus and it would cost you $150,000 as an initial investment. After executing your target market study, SWOT, and porter 5 forces, you came up with a business plan and expect cash flows as followed:

Year 1: $25,000,

Year 2: $35,000,

Year 3: $45,000,

Year 4: $60,000,

Year 5: $60,000

Problem 1: What is the payback period of the investment?

Reference no: EM132913965

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