Multiple Choice
A 25- year project has a cost of $1,500,000 and has annual cash flows of $400,000 in years 1-15, and $200,000 in years 16-25. The company's required rate is 14%. Given this information, calculate the payback of the project.
A) 2.25 years
B) 2.75 years
C) 3.25 years
D) 3.75 years
E) 4.25 years
Correct Answer:
Verified
Correct Answer:
Verified
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