Multiple Choice
A firm is evaluating a proposal which has an initial investment of $35,000 and has cash flows of$10,000 in year 1, $20,000 in year 2, and $10,000 in year 3. The payback period of the project is
A) between 2 and 3 years.
B) 1 year.
C) between 1 and 2 years.
D) 2 years.
Correct Answer:
Verified
Correct Answer:
Verified
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