Homework Sourseind the discounted Payback period for the following project
| ind the discounted Payback period for the following project. The discount rate is 6% | ||||||
| Project X | ||||||
| Initial outlay | $ 8,425.00 | |||||
| Year 1 | $ 3,796.00 | |||||
| Year2 | $ 3,710.00 | |||||
| Year 3 | $ 5,836.00 | |||||
| Year 4 | $ 7,659.00 | |||||
| Round the answer two decimal places |
| ind the discounted Payback period for the following project. The discount rate is 6% | ||||||
| Project X | ||||||
| Initial outlay | $ 8,425.00 | |||||
| Year 1 | $ 3,796.00 | |||||
| Year2 | $ 3,710.00 | |||||
| Year 3 | $ 5,836.00 | |||||
| Year 4 | $ 7,659.00 | |||||
| Round the answer two decimal places |
Solution
Best of Luck. God Bless
| Initial outlay | Year 1 | Year2 | Year 3 | Year 4 | ||
| Project X | -8425.00 | 3796.00 | 3710.00 | 5836.00 | 7659.00 | |
| Discounted Cash Flows | -8425.00 | 3581.13208 | 3301.886792 | 4900.018136 | 6066.645367 | |
| Incremental Discounted Cash Flows | -8425.00 | -4843.87 | -1541.98 | 3358.04 | 9424.68 | |
| Discounted Payback Period | 2.31 | |||||
| Discounted Payback Period | Year before Discounted Cash flow is positve + Discounted cash flows/Cash flows at year 3 |
