You are considering an investment which has the following cash flows. If you require a four year payback period, should you take the investment?
A) Yes, the payback is 1.000 years.
B) Yes, the payback is 2.675 years.
C) Yes, the payback is 3.375 years.
D) No, the payback is 4.125 years.
E) No, the payback is 5.500 years.

Question

You are considering an investment which has the following cash flows. If you require a four year payback period, should you take the investment? 
A) Yes, the payback is 1.000 years. 
B) Yes, the payback is 2.675 years. 
C) Yes, the payback is 3.375 years. 
D) No, the payback is 4.125 years. 
E) No, the payback is 5.500 years.

Quizplus · Accepted Answer

The Answer of You are considering an investment which has the following cash flows. If you require a four year payback period, should you take the investment? 
A) Yes, the payback is 1.000 years. 
B) Yes, the payback is 2.675 years. 
C) Yes, the payback is 3.375 years. 
D) No, the payback is 4.125 years. 
E) No, the payback is 5.500 years.

You Are Considering an Investment Which Has the Following Cash