a) The cost of a proposed project is $10,000 and has annual cash flows pf $2,900 for six years. a. What is the discounted payback period if the discount rate is 0.5%? b. What is the discounted payback period if the discount rate is 5%? c. What is the discounted payback period if the discount rate is 20%?

a) The cost of a proposed project is $10,000 and has annual cash flows pf $2,900 for six years. a. What is the discounted payback period if the discount rate is 0.5%? b. What is the discounted payback period if the discount rate is 5%? c. What is the discounted payback period if the discount rate is 20%?

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter9: Capital Budgeting Techniques

Section: Chapter Questions

Problem 14PROB

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