The Initial Outlay or Cost for a Four-Year Project Is

question 11

Multiple Choice

The initial outlay or cost for a four-year project is $1,000,000.The respective cash inflows for years 1,2,3 and 4 are: $500,000,$300,000,$300,000 and $300,000.What is the discounted payback period if the discount rate is 10%?

• A)About 2.67 years
• B)About 3.35 years
• C)About 3.67 years
• D)About 4.50 years

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Definitions:

Tay-Sachs Disease

A genetic disorder that destroys nerve cells in the brain and spinal cord progressively due to the absence of a vital enzyme, leading to severe neurological disability and death.

Genetic Drift

Refers to the random fluctuations in the frequency of alleles within a population over time, not due to natural selection.

Sympatric Speciation

Speciation pattern in which speciation occurs within a population, in the absence of a physical barrier to gene flow.

Physical Barrier

Any natural or artificial structure that blocks or limits movement, spread, or access of organisms or materials.