The Payback Period Is

question 19

Multiple Choice

The payback period is:

• A) the net present value of all cash flows (benefits and costs) generated by a project.
• B) any cost savings associated with a project, such as savings from reduction in staff, equipment rental fees, and outsourcing fees.
• C) any capital investment required to buy equipment, software, or office space.
• D) the number of years required to recover the initial cost of an investment.

---

Definitions:

Entrepreneur

An individual who organizes and operates a business or businesses, taking on greater than normal financial risks in order to do so.

CBI Insights

A provider of market intelligence, analysis, and forecasting for the business industry, focusing on emerging trends and technologies.

Startup Postmortems

Analyses or discussions conducted after a startup has ended its operations, aiming to understand what led to its failure or closure.

Entrepreneurs

Individuals who initiate, manage, and assume the risks of a business venture in the hope of making a profit.