The Seattle Corporation has been presented with an investment opportunity which will yield cash flows of $30,000 per year in Years 1 through 4, $35,000 per year in Years 5 through 9, and $40,000 in Year 10.  This investment will cost the firm $150,000 today, and the firm's cost of capital is 10 percent.  Assume cash flows occur evenly during the year, 1/365th each day.  What is the payback period for this investment

Principles of Accounting Volume 2
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ISBN:9781947172609
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Chapter11: Capital Budgeting Decisions
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The Seattle Corporation has been presented with an investment opportunity which will yield cash flows of $30,000 per year in Years 1 through 4, $35,000 per year in Years 5 through 9, and $40,000 in Year 10.  This investment will cost the firm $150,000 today, and the firm's cost of capital is 10 percent.  Assume cash flows occur evenly during the year, 1/365th each day.  What is the payback period for this investment
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