The a Justed Company Is Evaluating an Investment Proposal Using

Multiple Choice

The A Justed Company is evaluating an investment proposal using the payback method.Cash inflows are expected to be $3000 in year 1,$5000 in year 2,$4000 in year 3,and $6000 in year 4.The initial investment required is $6000.Assuming even cash inflows within each year what is the payback period?

A) 1.33 years
B) 1.6 years
C) 2 years
D) 3 years