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Project A has a 10 percent cost of capital and the followingcash flows: (3) Project...

Project A has a 10 percent cost of capital and the following cash flows: (3) Project A Year Cash Flow 0 -$300 1 100 2 150 3 200 4 50 What is Project A’s discounted payback? a. 2.25 years b. 2.36 years c. 2.43 years d. 2.50 years e. 2.57 years

Solutions

Expert Solution

Option e = 2.57 years

Calculation of Discounted Payback Period:

Here, Discount rate = 10%

jeff jeffy answered 2 years ago
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