What is the project's payback period?
Not what you're looking for?
Jane needs a new floor. It will take $100,000
She thinks that he can improve revenue through fewer misdirected sales inquiry calls, resulting in higher sales. Through analysis, she has determined that improvement to cash flow for the company will be $40,000 in years one through five. Thus, the time horizon is five years and you will get the benefit at the end of the year.
Your company can get 10% on invested funds (the market rate of return).
Calculate the NPV
What is the project's payback period?
Purchase this Solution
Solution Summary
The solution determines a projects payback period.
Solution Preview
First write the cash flow
Year Cash Flow
0 -100000
1 40000
2 40000
3 40000
4 40000
5 40000
For ...
Purchase this Solution
Free BrainMass Quizzes
Situational Leadership
This quiz will help you better understand Situational Leadership and its theories.
Organizational Leadership Quiz
This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.
Business Processes
This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.
Managing the Older Worker
This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce
Operations Management
This quiz tests a student's knowledge about Operations Management