Asked by
Ayana Chamara
on Nov 12, 2024
Verified
The cash payback period for this investment is
A) 4 years
B) 5 years
C) 20 years
D) 3 years
Cash Payback Period
The length of time it takes for an investment or project to generate enough cash flows to recover its initial cost.
Present Value Factor
The present value factor is a factor used to calculate the present value of a future amount, considering a specific interest rate over a set period.
- Work out and recognize the value of the cash payback period for investment deliberations.
- Utilize present value analysis in assessing the worthiness of investment opportunities.
Verified Answer
SC
Learning Objectives
- Work out and recognize the value of the cash payback period for investment deliberations.
- Utilize present value analysis in assessing the worthiness of investment opportunities.