What is the discounted payback period of a project whose NPV is positive?

Question

Quizplus · Accepted Answer

The discounted payback period is the time it takes for the cumulative discounted cash flows to equal the initial investment. If the NPV is positive, it means that the project's cash flows are expected to be greater than the initial investment, meaning that the cumulative discounted cash flows will reach the initial investment sooner than the project life time. Therefore, the discounted payback period will be lower than the project life time.

What Is the Discounted Payback Period of a Project Whose