A project that costs $24,500 today will generate cash flows of $8,400 per year for seven years. What is the project's payback period? Multiple Choice O 2.43 years 2.92 years 2.33 years 300 years 34 years

A project that costs $24,500 today will generate cash flows of $8,400 per year for seven years. What is the project's payback period? Multiple Choice O 2.43 years 2.92 years 2.33 years 300 years 34 years

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter12: Capital Budgeting: Decision Criteria

Section: Chapter Questions

Problem 1P: A project has an initial cost of 40,000, expected net cash inflows of 9,000 per year for 7 years,...

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A project that costs $24,500 today will generate cash flows of $8,400 per year for seven years. What is the project's payback period?
Multiple Choice
O
2.43 years
2.92 years
2.33 years
3.00 years
34 years

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