-Calculate the pay back in Cash Flow 1 above

Name: -Calculate the pay back in Cash Flow 1 above
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The payback period is the time it takes for an investment to generate enough cash flow to cover the initial investment. In this case, the initial investment is $100,000 and the cash flow in the first year is $40,000. So, the payback period is 100,000 / 40,000 = 2.5 years.

-Calculate the Pay Back in Cash Flow 1 Above