Determining project regular payback

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Haig Aircraft is considering a project that has an up-front cost paid today at t = 0. The project will generate positive cash flows of $60,000 a year at the end of each of the next five years. The project's NPV is $75,000 and the company's WACC is 10%. What is the project's regular payback?

  • 3.22 years
  • 1.56 years
  • 2.54 years
  • 2.35 years
  • 4.16 years

Reference no: EM13152126

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