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    discounted payback period of produce

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    A project has an initial cost of $8,500 and produces cash inflows of $2,600, $4,900, and $1,500 over the next three years, respectively. What is the discounted payback period if the required rate of return is 7%?

    A. 2.13 years
    B. 2.33 years
    C. 2.67 years
    D. 2.91 years
    E. Never

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    Solution Preview

    Payback period is the time taken to recover the initial investment. In discounted payback we discount the cash ...

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    This posting offers help with calculating discounted payback period.