These are sample practice MCQs created for exam preparation. These are NOT official exam questions.
CAPITAL INVESTMENT: What is the payback period for a new facility? (1) Initial investment is $3.6M and annual cash inflow is $900K (2) The project generates $75K monthly cash inflow with $3.6M upfront cost
Question:
CAPITAL INVESTMENT: What is the payback period for a new facility? (1) Initial investment is $3.6M and annual cash inflow is $900K (2) The project generates $75K monthly cash inflow with $3.6M upfront cost
CAPITAL INVESTMENT: What is the payback period for a new facility? (1) Initial investment is $3.6M and annual cash inflow is $900K (2) The project generates $75K monthly cash inflow with $3.6M upfront cost
Options
Answer: (D) EACH statement ALONE is sufficient
Explanation:
Statement (1): Payback period = $3.6M/$900K = 4 years. Sufficient. Statement (2): Annual cash inflow = $75K × 12 = $900K. Payback = $3.6M/$900K = 4 years. Sufficient.
Explanation:
Statement (1): Payback period = $3.6M/$900K = 4 years. Sufficient. Statement (2): Annual cash inflow = $75K × 12 = $900K. Payback = $3.6M/$900K = 4 years. Sufficient.
👉 Want AI explanation? Open in MCQ App
Recommended articles
- How To Cover Current Affairs For Upsc Prelims — Master UPSC Current Affairs with daily newspaper reading, Vision IAS monthly compilations, PT 365, and MCQ practice. Complete strategy guide for Prelims…
- Top 10 Daily Current Affairs Resources For Upsc Aspirants — Discover the best daily current affairs resources for UPSC 2026. Complete guide with The Hindu, PIB, Sansad TV, and 7 more proven sources. Expert…
- Free Cat Previous Year Questions Guide — Master CAT 2025 with free previous year questions. Practice 1000+ PYQs, mock tests, and detailed solutions. Complete guide to CAT preparation using past…