Scott Is Considering a Project That Will Produce Cash Inflows

question 17

Multiple Choice

Scott is considering a project that will produce cash inflows of $2,100 a year for 4 years.The project has a 12 percent required rate of return and an initial cost of $6,000.What is the discounted payback period?

• A)3.72 years
• B)3.91 years
• C)4.26 years
• D)4.38 years
• E)never

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Definitions:

Pincer Grasp

The coordination of the index finger and thumb to hold an object, an important milestone in the fine motor development of infants.

Motor Cortex

An area within the cerebral cortex that is crucial for the planning, supervision, and implementation of voluntary actions.

Cognitive Development

The process of growth and change in intellectual/mental abilities such as thinking, reasoning, and understanding over the course of a person's life.

Sensorimotor

Pertaining to or involving both sensory and motor activities or functions, often in reference to the integration of sensory input and motor responses.