-200000,84702,84702,84702,84702,136702) = $155,883.25
5. IRR using excel is IRR(-200000,84702,84702,84702,84702,136702) = 37.54%
6. Payback period:Payback period is the time required for cumulative cash inflows to recover the cash outflows of the project.
Payback period = Year before full recovery + (Unrecovered cost at start of year/Cash flow during year)
So in present question, We see that by Year 3, the cumulative inflows have recovered ($84702+84702 ) = 169,404 of the initial outflow of 200
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