FIN325 HM#5
in Economics by neel
Favorite
Add it to your favorites and revisit later
Instant Download
Previewing 1 of 10 total pages.
Regular Price: $12.86
Your Price: $9.00 (30% discount)
You Save: $3.86
Your Price: $9.00 (30% discount)
You Save: $3.86
Description
1.
award:
out of
points
Consider the following information:
Cash Flows,
Project
C0
C1
C2
C3
C4
A
-6,100
2,100
2,100
2,800
0
B
-1,400
0
1,000
3,100
4,100
C
-3,900
2,100
3,000
4,100
6,100
a.
What is the payback period on each of the above projects?(Round your answers to 2 decimal places.)
Project
Payback Period
A
year(s)
B
year(s)
C
year(s)
A) 6100 - 2100(1 yr) - 2100(1 yr) 1900 / 2800 .68 2
B) 1400 - 0(1 yr) - 1000(1 yr) 400 / 3100 .13 2
C) 3900 - 2100 1800 / 3000 .60 1
b.
Given that you wish to use the payback rule with a cutoff period of two years, which projects would you accept?
Project C
c.
If you use a cutoff period of three years,...
Comments (0)
You must sign in to make a comment.
Rating:
Published On:
06/13/2015
Print Length:
10 page(s)
Word Count:
1,048
File Name:
fin325-hm5-71.docx
File Size:
127.32 KB (0.13 MB)
Sold By:
neel
Purchased:
0 times
Best Seller Ranking:
#23614