A project costs Rs50,000 and will yield annual cash inflows of Rs20,000 for 5years. Calculate its payback period. | Faculties

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Shiva Ram

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📊 Financial Management

Q. A project costs Rs50,000 and will yield annual cash inflows of Rs20,000 for 5years. Calculate its payback period.

(A) 2 years
(B) 5 years
(C) 2.5 years
(D) 3 years

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✅ Correct Answer: (C) 2.5 years

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