Yancy Is Considering a Project Which Will Produce Cash Inflows

question 282

Multiple Choice

Yancy is considering a project which will produce cash inflows of $900 a year for 4 years. The project has a 9 percent required rate of return and an initial cost of $2,800. What is the discounted
Payback period?

• A) 3.11 years
• B) 3.18 years
• C) 3.82 years
• D) 4.18 years
• E) never

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Definitions:

Creativity

The ability to generate novel and useful ideas or solutions to problems.

Quality of Work Life

The degree to which individuals perceive their employment situation as satisfying, incorporating elements of job satisfaction, well-being, and work-life balance.

Quality of Life

The general well-being of individuals and societies, encompassing factors like health, happiness, education, and economic prosperity.

Source of Pleasure

An activity, person, or object that provides joy and satisfaction.