An investment is be made with an initial capital of PHP 853512. It is expected that there will be an annual revenue for this investment of PHP 286252; while it is also entitled to an annual operations and maintenance cost of PHP 37735 and annual taxes of PHP 5425. Its salvage value at the end of its useful life (10 years) is PHP 11478. This investment has a MARR of 18% (same as interest rate). Determine the payback period (in years) of the investment using Payback/Payout Period Method ( pls maintain complete decimal places within the solutions)

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Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.