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A Flexible Manufacturing System Is Expected to Cost $25,000,000 but Has

Question 1

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A flexible manufacturing system is expected to cost $25,000,000 but has present values of after-tax cash flow as shown in the table.The interest rate used is 10 percent.What is the payback of this investment? A flexible manufacturing system is expected to cost $25,000,000 but has present values of after-tax cash flow as shown in the table.The interest rate used is 10 percent.What is the payback of this investment? A) Less than two years B) Between two and three years C) Between three and four years D) More than four years


A) Less than two years
B) Between two and three years
C) Between three and four years
D) More than four years

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