Solved: What is the payback period give partial year to two decimal, Finance Basics

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What is the payback period give partial year to two decimal

The LoveLivingInParadise Company wants to calculate how long it will take to recover their initial investment on a project. The end-of-year cash flows are estimated to be:

Cost $30,000

Year 1 $5,000

Year 2 $15,000

Year 3 $12,000

Year 4 $ 8,000

What is the payback period? (Give partial year to two decimal places. SHOW ALL WORK FOR FULL CREDIT).

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Finance Basics: What is the payback period give partial year to two decimal

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