Year 1 2 6 7 8 9 10 Investment $ 31,000 $ 4,000 Cash Inflow $ 2,000 $4,000 $ 8,000 $ 9,000 $ 12,000 $ 10,000 $ 8,000 $ 6,000 $5,000 $5,000 Required: 1. Determine the payback period of the investment. 2. Would the payback period be affected if the cash inflow in the last year were several times as large? Complete this question by entering your answers in the tabs below. Required 2 Required 1 Would the payback period be affected if the cash inflow in the last year were several times as large? Yes No < Required 1
Year 1 2 6 7 8 9 10 Investment $ 31,000 $ 4,000 Cash Inflow $ 2,000 $4,000 $ 8,000 $ 9,000 $ 12,000 $ 10,000 $ 8,000 $ 6,000 $5,000 $5,000 Required: 1. Determine the payback period of the investment. 2. Would the payback period be affected if the cash inflow in the last year were several times as large? Complete this question by entering your answers in the tabs below. Required 2 Required 1 Would the payback period be affected if the cash inflow in the last year were several times as large? Yes No < Required 1
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter12: Capital Investment Decisions
Section: Chapter Questions
Problem 5MCQ: An investment of 1,000 produces a net cash inflow of 500 in the first year and 750 in the second...
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