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Payback period. What are the payback periods of projects E and F in the following table: E ? Assume all the cash flow is evenly spread throughout the year. If the cutoff period is 3 years, which project(s) do you accept? What is the payback period for project E? ] years (Round to one decimal place.) O Data Table |(Click on the following icon in order to copy its contents into a spreadsheet.) Cash Flow E Cost $36,000 $7,200 $7,200 $7,200 $105,000 Cash flow year 1 Cash flow year 2 Cash flow year 3 Cash flow year 4 Cash flow year 5 Cash flow year 6 $31,500 $42,000 $10,500 $21,000 $0 $0 $7,200 $7,200 $7,200 Print Done

Payback period. What are the payback periods of projects E and F in the following table: E ? Assume all the cash flow is evenly spread throughout the year. If the cutoff period is 3 years, which project(s) do you accept? What is the payback period for project E? ] years (Round to one decimal place.) O Data Table |(Click on the following icon in order to copy its contents into a spreadsheet.) Cash Flow E Cost $36,000 $7,200 $7,200 $7,200 $105,000 Cash flow year 1 Cash flow year 2 Cash flow year 3 Cash flow year 4 Cash flow year 5 Cash flow year 6 $31,500 $42,000 $10,500 $21,000 $0 $0 $7,200 $7,200 $7,200 Print Done

Managerial Accounting: The Cornerstone of Business Decision-Making
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter12: Capital Investment Decisions
Section: Chapter Questions
Problem 26BEB
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Payback period. What are the payback periods of projects E and F in the following table: E ? Assume all the cash flow is evenly spread throughout the year. If the cutoff period is 3 years, which project(s) do you accept? What is the payback period for project E? years (Round to one decimal place.) Data Table (Click on the following icon a in order to copy its contents into a spreadsheet.) Cash Flow E F $36,000 $7,200 Cost $105,000 Cash flow year 1 Cash flow year 2 $31.500 $7,200 $42,000 Cash flow year 3 $7,200 $10,500 Cash flow year 4 $7,200 $21,000 $0 $0 Cash flow year 5 $7,200 Cash flow year 6 $7,200 Print Done
Transcribed Image Text:Payback period. What are the payback periods of projects E and F in the following table: E ? Assume all the cash flow is evenly spread throughout the year. If the cutoff period is 3 years, which project(s) do you accept? What is the payback period for project E? years (Round to one decimal place.) Data Table (Click on the following icon a in order to copy its contents into a spreadsheet.) Cash Flow E F $36,000 $7,200 Cost $105,000 Cash flow year 1 Cash flow year 2 $31.500 $7,200 $42,000 Cash flow year 3 $7,200 $10,500 Cash flow year 4 $7,200 $21,000 $0 $0 Cash flow year 5 $7,200 Cash flow year 6 $7,200 Print Done
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