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Finance Assignment | Professional Writing

Author:
June 10th, 2020

The required payback period of a project is four years. Which statements are correct regarding the payback analysis of the project? Select one:

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For the project to be accepted, each cash flow in the first four years must be greater than 1/4 of the initial cost. Distant cash flows are worth less due to discounting. The cash flow in year five is ignored. None of the above.

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