PW: 3 Year Payback

Which of these assets would be allowable under a three-year simple payback rule? Assets are shown with period zero first and subsequent cash flows following. So, -2,3,3 would indicate a $2 cost in period zero and benefits of three in both periods one and two.

A: 100,-2,-2,-2,-2

B: -20,-20,-20, -20, 1000

C: -5, 1, 1, 1, 1, 1, 1, 1, 1, 1, 1, 1, 1, 1

D: -2, 3, 3, 3

Question options:

  • A
  • B
  • C
  • D
  • None of the assets
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