A Project Has an Initial Cost of $72,500

question 51

Multiple Choice

A project has an initial cost of $72,500. The cash inflows are $11,500, $36,900, $22,900, and $18,200 over the next four years, respectively. What is the payback period?

• A) 2.67 years
• B) 2.98 years
• C) 3.01 years
• D) 3.07 years
• E) 3.13 years