Proposals M and N each cost $550,000,have 6-year lives,and have expected total cash flows of $750,000.Proposal M is expected to provide equal annual net cash flows of $125,000,while the net cash flows for Proposal N are as follows:

Determine the cash payback period for each proposal.

Question

Proposals M and N each cost $550,000,have 6-year lives,and have expected total cash flows of $750,000.Proposal M is expected to provide equal annual net cash flows of $125,000,while the net cash flows for Proposal N are as follows:
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Determine the cash payback period for each proposal.

Quizplus · Accepted Answer

The Answer of Proposals M and N each cost $550,000,have 6-year lives,and have expected total cash flows of $750,000.Proposal M is expected to provide equal annual net cash flows of $125,000,while the net cash flows for Proposal N are as follows:
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  ​
Determine the cash payback period for each proposal.

Proposals M and N Each Cost $550,000,have 6-Year Lives,and Have