Stern Associates is considering a project that has the following cash flow data.What is the project's payback? $$\begin{array} { l c c c c c c }
\text { Year } & 0 & 1 & 2 & 3 & 4 & 5 \
\hline \text { Cash flows } & - \$ 975 & \$ 300 & \$ 310 & \$ 320 & \$ 330 & \$ 340
\end{array}$$
A) 2.54 years
B) 2.42 years
C) 3.83 years
D) 3.14 years
E) 3.61 years

Question

Stern Associates is considering a project that has the following cash flow data.What is the project's payback? $$\begin{array} { l c c c c c c } 
\text { Year } & 0 & 1 & 2 & 3 & 4 & 5 \
\hline  \text { Cash flows } & - \$ 975 & \$ 300 & \$ 310 & \$ 320 & \$ 330 & \$ 340
\end{array}$$
A) 2.54 years
B) 2.42 years
C) 3.83 years
D) 3.14 years
E) 3.61 years

Quizplus · Accepted Answer

The Answer of Stern Associates is considering a project that has the following cash flow data.What is the project's payback? $$\begin{array} { l c c c c c c } 
\text { Year } & 0 & 1 & 2 & 3 & 4 & 5 \
\hline  \text { Cash flows } & - \$ 975 & \$ 300 & \$ 310 & \$ 320 & \$ 330 & \$ 340
\end{array}$$
A) 2.54 years
B) 2.42 years
C) 3.83 years
D) 3.14 years
E) 3.61 years

Stern Associates Is Considering a Project That Has the Following