Payback period, Financial Management

Assignment Help:

Can some one tell me how to calculate payback period and which formula i used to calculated payback period?

Explain!!!!

 


Related Discussions:- Payback period

Describe what is meant by application controls, QUESTION An audit team...

QUESTION An audit team is currently engaged in planning the audit of the financial statements of E Limited as at 30 June 2007. This was the first accounting period during which

International bonds, International bonds are divided into two c...

International bonds are divided into two categories namely, foreign bonds and euro bonds. Foreign bonds are issued by a borrowing company in another

What is share exchange, What is Share exchange    Predator company off...

What is Share exchange    Predator company offers their shares in exchange for target company's shares. So target shareholders become part of predator shareholders and so have

Calculate average amount of working capital required, X & Y is desirous to ...

X & Y is desirous to purchase a business and has consulted you, and one point on which you are asked to advice them, is the average amount of working capital which will be required

Describes the gordons dividend model, Q. Describes the Gordons dividend mod...

Q. Describes the Gordons dividend model? Gordon's Model: - Gordon's model is one more theory which contends that dividend policy is relevant for the value of the firm. Alternat

Operating cycle, applicability of an operating cycle in vegetable growing b...

applicability of an operating cycle in vegetable growing business

Explain payback period of CHROMEX PLC, CHROMEX PLC Payback period ...

CHROMEX PLC Payback period Payback period must be based on cash flows that is the cash generated from operations and the capital invested by Chromex. Profit is different f

Operating budget, Operating Budget It is a collection or set of formal ...

Operating Budget It is a collection or set of formal financial documents that details expected expenses and revenues, as like all other expected operating and financial transac

Terms of maturity date very short term, 1. (a) A barbell is a approach of...

1. (a) A barbell is a approach of maintaining a portfolio of securities concentrated at two extremes in terms of maturity date very short term and very long term. A positive

Financial leverage, paid-up equty 100000 earning of the company 10000 praic...

paid-up equty 100000 earning of the company 10000 praice - earning ratio(PIE) 20 no.of equty share

Laura

2/14/2013 12:19:03 AM

Payback period:

The length of time required to get well the cost of an investment. The payback period of a provided investment or project is an important determinant of whether to undertake the project or position, as longer payback periods are naturally not desirable for investment positions.

Calculated as:

Payback Period = Cost of Project / Annual Cash Inflows

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd