Brackett Corporation Is Adding a New Product Line That Will

question 108

Multiple Choice

Brackett Corporation is adding a new product line that will require an investment of $120,000.The product line is estimated to generate cash inflows of $25,000 the first year,$23,000 the second year,and $18,000 each year thereafter for ten more years.What is the payback period?

• A)4.80 years
• B)6.00 years
• C)6.32 years
• D)6.67 years

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Definitions:

Human Behaviour

The range of actions and mannerisms exhibited by humans in conjunction with their environment, social structures, and culture.

Structuralism

An early school of psychology that used introspection to explore the elemental structure of the human mind.

Functionalism

A framework in psychology that emphasizes the purpose of mind and behavior in adapting to the environment.

Introspection

The examination or observation of one's own mental and emotional processes.