Multiple Choice
A firm is evaluating a potential investment that is expected to generate cash flows of $100 in years 1 through 4 and $400 in years 5 through 7. The initial investment is $750. What is the payback for this investment?
A) 4.88 years
B) 4.48 years
C) 5.88 years
D) 5.48 years
Correct Answer:
Verified
Correct Answer:
Verified
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