Compute the discounted payback statistic for Project D
Compute the discounted payback statistic for Project D if the appropriate
cost of capital is 12 percent and the maximum allowable discounted payback is four years. (Do not round intermediate calculations and round your final answer to 2 decimal places. If the project does not pay back, then enter a “0” (zero).)
Project D
Time: 0 1 2 3 4 5
Cash flow -$12,200 $3,470 $4,420 $1,760 $0 $1,240
Discounted payback period ?
Should the project be accepted or rejected?