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A Project Has an Initial Cost of $12,300 and Produces

Question 27

Multiple Choice

A project has an initial cost of $12,300 and produces cash inflows of $5,200,$5,300,and $4,800 over Years 1 to 3,respectively.What is the discounted payback period if the required rate of return is 12 percent?


A) 2.13 years
B) 2.34 years
C) 2.78 years
D) 2.91 years
E) Never

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