Consider the Following Three-Year Project

question 37

Multiple Choice

Consider the following three-year project.The initial after-tax outlay or after-tax cost is $1,500,000.The future after-tax cash inflows for years 1,2,3 and 4 are: $800,000,$800,000,$300,000 and $100,000,respectively.What is the payback period without discounting cash flows?

• A)1.875 years
• B)2.0 years
• C)3.5 years
• D)4.125 years

---

Definitions:

Dumbbell-Shaped

A description of an object or structure that is narrow in the middle and wider at both ends, resembling the shape of a traditional dumbbell used for exercising.

Mesophyll

The inner tissue of a leaf, containing many chloroplasts, where photosynthesis occurs.

Palisade

in plant biology refers to the layer of closely packed cells in the leaves of plants where photosynthesis predominantly takes place.

Spongy Layers

Part of a plant's leaves, specifically within the mesophyll, that consists of loosely arranged cells with spaces between them for gas exchange.