An investment project costs $17,200 and has annual cash flows of $4,200 for six years....

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Finance

An investment project costs $17,200 and has annual cash flows of $4,200 for six years.

a. What is the discounted payback period if the discount rate is zero percent?
  • 4.10
  • 4.18
  • 4.01
  • 4.45
  • 3.75

b. What is the discounted payback period if the discount rate is 3 percent?
  • 4.44
  • 4.53
  • 4.35
  • 4.79
  • 4.09

c. What is the discounted payback period if the discount rate is 20 percent?
  • Never
  • 1.02
  • 3.98
  • 3.35
  • 4.35

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