A Project Has the Following Cash Flows

question 81

Multiple Choice

A project has the following cash flows.What is the payback period?

• A)2.83 years
• B)2.38 years
• C)2.75 years
• D)2.92 years
• E)3.03 years

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Definitions:

Payment

The act of transferring money or its equivalent in exchange for goods or services.

Commission

A fee or percentage awarded to salespeople, agents, or brokers for their services in facilitating a sale or transaction.

Sale Price

The actual price at which an item is sold to a buyer.

Procuring

The act of obtaining or acquiring services or goods, often involving a procurement process for businesses or government entities.