Oriental Corporation has gathered the following data on a proposed investment project: Investment in depreciable equipment$200,000 Annual net cash flows $50,000 Life of the equipment 10yearsSalvage value$0 Discount rate 10%The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment.The payback period for the investment would be:
A. 2.41 years
B. 10 years
C. 4 years
D. 0.25 years
Answer: C
You might also like to view...
Values do not simply appear they evolve.
Answer the following statement true (T) or false (F)
Big data analytics often requires that data be analyzed in a _______ amount of time.
What will be an ideal response?
What is the best advice to follow when integrating graphics in a report?
A) ?Always place graphics in the appendix of a report. B) ?Mention the graphic in the text of the report. C) Create graphics in only black and white so that the graphics do not distract the reader. D) Do not include a title above any graphic because the graphic should be self-explanatory.
Blayne writes a check "pay to the order of Cherry" drawn on Blayne's account at Dixie Bank. Cherry presents the check for payment to Dixie Bank, which accepts it. The bank is
A. not liable for payment. B. primarily liable for payment. C. secondarily liable for payment. D. simultaneously liable, with Blayne, for payment.