Question

Year 0 1 2 3 4 5 6 Cash Flow -110000 30000 40000 20000 80000 20000...

Year

0

1

2

3

4

5

6

Cash Flow

-110000

30000

40000

20000

80000

20000

20000


Given the cash flows in the table above, calculate the payback period assuming the cash flows in years 1 to 4 occur evenly throughout the year. The required rate of return is 12%.

Answer in years accurate to two decimal places

Kindly please help to explain and answer.

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