Homework answers / question archive / Consider the following data on a proposed investment: Investment required: P2,600,000 Annual cash inflows: P500,000  Life of the investment: 10 years  Salvage value: P250,000    Discount rate: 10%  Based on the above data, what I point is the payback period of the proposed investment project? *  a) 2

Consider the following data on a proposed investment: Investment required: P2,600,000 Annual cash inflows: P500,000  Life of the investment: 10 years  Salvage value: P250,000    Discount rate: 10%  Based on the above data, what I point is the payback period of the proposed investment project? *  a) 2

Accounting

Share With

Consider the following data on a proposed investment:

Investment required: P2,600,000

Annual cash inflows: P500,000

 Life of the investment: 10 years

 Salvage value: P250,000

   Discount rate: 10% 
Based on the above data, what I point is the payback period of the proposed investment project? * 
a) 2.50 years

b) 3 years

c) 4.5 years

d) 5.20 years