The length of time it takes for an investment's cash outflow to be returned in the form of cash inflows or savings is the:
A)net capital refill.
B)return on investment.
C)net present value.
D)payback period.
E)opportunity cost return.

Question

Quizplus · Accepted Answer

The definition provided in the question refers to the payback period. It is the length of time required for an investment to generate cash flows or savings equal to the initial cost of the investment. The other options (A, B, C, and E) either do not relate directly to this definition or are incorrect terms.

The Length of Time It Takes for an Investment's Cash