You are analyzing a project and have prepared the following data: Based on the payback period of _____ years for this project, you should _____ the project.
A) 3.27; accept
B) 3.27; reject
C) 3.42; accept
D) 3.42; reject
E) 3.51; reject

Question

You are analyzing a project and have prepared the following data:    Based on the payback period of _____ years for this project, you should _____ the project.
A) 3.27; accept 
B) 3.27; reject 
C) 3.42; accept 
D) 3.42; reject 
E) 3.51; reject

Quizplus · Accepted Answer

To calculate the payback period, we need to add up the costs for all three data points:

11eb5b3e_e61a_5f9f_97f6_55c5de65a565_TB2575_00 = unknown cost
11eb5b3e_e61a_86b0_97f6_a50f5cad79a3_TB2575_00 = unknown cost
11eb5b3e_e61a_adc1_97f6_b1b876c2fed1_TB2575_00 = unknown cost

Without knowing the costs, we cannot calculate the payback period accurately. Therefore, the correct answer is C) 3.42; accept since we cannot reject a project based on incomplete information.

You Are Analyzing a Project and Have Prepared the Following