Question

A project has an initial cost of $58,625, expected net cash inflows of $11,000 per year for 9 years, and a cost of capital of 11%. What is the project's payback period? Round your answer to two decimal places.

Answer #1

Payback period = The year in which the cash flow was last negative + (the cumulative cash flow in the year in which the cash flow was first positive) / (cash flow in that year)

Payback period = 5 + (7,375/11,000) = 5.6704545455

Payback period = 5.67 Years

Screenshot with formulas

Can you please upvote? Thank You :-)

A project has an initial cost of $48,175, expected net cash
inflows of $11,000 per year for 8 years, and a cost of capital of
11%. What is the project's payback period? Round your answer to two
decimal places.
Please show in Excel rather than a financial calculator.

A project has an initial cost of $40,000, expected net cash
inflows of $9,000 per year for 9 years, and a cost of capital of
11%. What is the project's discounted payback period? Round your
answer to two decimal places.

A project has an initial cost of $73,000, expected net cash
inflows of $11,000 per year for 6 years, and a cost of capital of
11%. What is the project's MIRR? Do not round intermediate
calculations. Round your answer to two decimal places.

A project has an initial cost of $60,000, expected net cash
inflows of $13,000 per year for 7 years, and a cost of capital of
11%. What is the project's payback period? Round your answer to two
decimal places.

MIRR
A project has an initial cost of $48,025, expected net cash
inflows of $8,000 per year for 12 years, and a cost of capital of
13%. What is the project's MIRR? Do not round intermediate
calculations. Round your answer to two decimal places.
Profitability Index
A project has an initial cost of $45,950, expected net cash
inflows of $13,000 per year for 10 years, and a cost of capital of
12%. What is the project's PI? Do not round...

A project has an initial cost of $50,150, expected net cash
inflows of $13,000 per year for 9 years, and a cost of capital of
12%. What is the project's payback period? Round your answer to two
decimal places.

A project has an initial cost of $53,175, expected net cash
inflows of $12,000 per year for 9 years, and a cost of capital of
13%. What is the project's payback period? Round your answer to two
decimal places.

A project has an initial cost of $35,000, expected net cash
inflows of $11,000 per year for 11 years, and a cost of capital of
8%. What is the project's PI? (Hint: Begin by constructing a time
line.) Do not round intermediate calculations. Round your answer to
two decimal places.

A project has an initial cost of $35,000, expected net cash
inflows of $8,000 per year for 7 years, and a cost of capital of
11%. What is the project's discounted payback period? Round your
answer to two decimal places.

1. A project has an initial cost of $74,475, expected net cash
inflows of $9,000 per year for 8 years, and a cost of capital of
12%. What is the project's MIRR? Do not round intermediate
calculations. Round your answer to two decimal places.
2. A project has an initial cost of $46,800, expected net cash
inflows of $10,000 per year for 6 years, and a cost of capital of
13%. What is the project's PI? Do not round your...

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 11 minutes ago

asked 29 minutes ago

asked 29 minutes ago

asked 30 minutes ago

asked 41 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago