The management of Unter Corporation, an architectural design firm, is considering an investment with the following cash flows: Year Investment Cash Inflow 1 $ 15,000 $ 1,000 2 $ 8,000 $ 2,000 3 $ 2,500 4 $ 4,000 5 $ 5,000 6 $ 6,000 7 $ 5,000 8 $ 4,000 9 $ 3,000 10 $ 2,000 Required: 1. Determine the payback period of the investment
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The management of Unter Corporation, an architectural design firm, is considering an investment with the following
Year | Investment | |
---|---|---|
1 | $ 15,000 | $ 1,000 |
2 | $ 8,000 | $ 2,000 |
3 | $ 2,500 | |
4 | $ 4,000 | |
5 | $ 5,000 | |
6 | $ 6,000 | |
7 | $ 5,000 | |
8 | $ 4,000 | |
9 | $ 3,000 | |
10 | $ 2,000 |
Required:
1. Determine the payback period of the investment
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