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A Company Is Considering a Proposal to Invest $73,000 in a Project

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Essay

A company is considering a proposal to invest $73,000 in a project that would provide the following net cash flows:
 Year 1 $5,000 Year 2 12,000 Year 3 25,000 Year 4 29,000 Year 5 8,000\begin{array} { l r } \text { Year 1 } & \$ 5,000 \\\text { Year 2 } & 12,000 \\\text { Year 3 } & 25,000 \\\text { Year 4 } & 29,000 \\\text { Year 5 } & 8,000\end{array} Compute the project's payback period.


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