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| Teaching Since: | May 2017 |
| Last Sign in: | 352 Weeks Ago, 6 Days Ago |
| Questions Answered: | 20103 |
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MBA, PHD
Phoniex
Jul-2007 - Jun-2012
Corportae Manager
ChevronTexaco Corporation
Feb-2009 - Nov-2016
Question description
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Compute the payback statistic for Project B if the appropriate cost of capital is 11 percent and the maximum allowable payback period is three years. (Round your answer to 2 decimal places. If the project never pays back, then enter a "0" (zero).) |
| Â Project B | ||||||
| Â Time: | 0 | 1 | 2 | 3 | 4 | 5 |
|  Cash flow | –$11,100 | $3,360 | $4,200 | $1,540 | $0 | $1,020 |
|  Payback |  years  |
Â
| Should the project be accepted or rejected? | ||||
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