A company is considering the purchase of a copier that costs $ 5000. Assume a cost of capital of 10 percent and the following cash flow schedule: Year 1: $ 3000 Year 2: $ 2000 Year 3: $ 2000 Determine the project’s payback period and discounted payback period. Payback Period Discounted Payback Period （）①A. 2.0 years 1.6 years②B. 2.4 years 2.4 years③C. 2.0 years 2.4 years
A. ①
B. ②
C. ③
参考答案：C
解析：
Regarding the regular payback period, after 1 year, the amount to recover is $ 2000 ($ 5000-$ 3000). After the second year, the amount is fully recovered.
The discounted payback period is found by first calculating the present values of each future cash flow. These present values of future cash flows are then used to determine the payback time period.
3000/(1+0.10)1=2727
2000/(1+0.10)2=1653
2000/(1+0.10)3=1503.
Then:
5000-(2727+1653)=620
620/1503=0.4.
So, 2+0.4=2.4.