A Company Is Considering a Proposal to Invest $22,000 in a Project

question 35

Essay

A company is considering a proposal to invest $22,000 in a project that would provide the following net cash flows: $$\begin{array} { l r } \text { Year 1 } & \$ 2,000 \\\text { Year 2 } & 4,000 \\\text { Year 3 } & 15,000 \\\text { Year 4 } & 18,000\end{array}$$
Compute the project's payback period.

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