Oriental Corporation has gathered the following data on a proposed investment project: The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment.The payback period for the investment would be:
A) 2.41 years
B) 0.25 years
C) 10 years
D) 4 years

Question

Oriental Corporation has gathered the following data on a proposed investment project:  The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment.The payback period for the investment would be:
A) 2.41 years 
B) 0.25 years 
C) 10 years 
D) 4 years

Quizplus · Accepted Answer

The Answer of Oriental Corporation has gathered the following data on a proposed investment project:  The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment.The payback period for the investment would be:
A) 2.41 years 
B) 0.25 years 
C) 10 years 
D) 4 years

Oriental Corporation Has Gathered the Following Data on a Proposed