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A company will invest with an initial investment of $1,000,000. Assuming a market interest rate of...

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Finance

A company will invest with an initial investment of $1,000,000.Assuming a market interest rate of 5% and cash flow for 5 years isexpected in the table below:

YearCash Flow
1425,000
2384,000
3321,500
4282,500
5200,000

Calculate the PAYBACK PERIOD andNPV!

Answer & Explanation Solved by verified expert
4.2 Ratings (824 Votes)
Payback period full years until recovery unrecovered cost at the start of the yearcash flow during the year 2 years 1000000 809000 321500 2 years    See Answer
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