Software Project Management20825 marksNumerical: payback period and ROIPayback period calculation
Calculate payback period and ROI for the following project
Calculate payback period and ROI for the following project
$$\begin{array}{|c|c|}\hline \text{Year} & \text{Project} \ \hline 0 & -100000 \ 1 & 50000 \ 2 & 30000 \ 3 & 10000 \ 4 & 20000 \ 5 & 20000 \ \hline \end{array}$$
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Year Cash Flow (Rs.) ----------------------- 0 -100,000 (initial investment) 1 50,000 2 30,000 3 10,000 4 20,000 5 20,000 --- The payback period is the time needed to recover the initial investment of Rs. 100,000 from cumulative inflows. Cumulative Cash Flow Table: Year Cash Flow Cumulative Cash ...