What will be the conventional payback period


A project costs a company $52,000. The service life of the project is expected to be 8 years and the yearly net cash flow will be $12,000. What will be the conventional payback period (CPP)? What will be the discounted payback period (DPP) at i=11%? In the supporting solutions file answer the following additional question: Will the company recover its investment during the 8 years service life if the interest rate considered for DPP is 17%? Explain why yes or why not

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Financial Management: What will be the conventional payback period
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