The projected net cash flows for three projects are (in $thousands):
|
Project |
Year 0 |
Year 1 |
Year 2 |
Year 3 |
Year 4 |
Year 5 |
|
A |
$(350) |
$100 |
$200 |
$100 |
$100 |
$140 |
|
B |
(350) |
40 |
100 |
210 |
260 |
160 |
|
C |
(350) |
200 |
150 |
2240 |
40 |
0 |
The payback period for each project (in years) is
|
A |
B |
C |
|
|
3 |
3 |
2 |
|
|
2.5 |
3 |
2 |
|
|
3 |
2 |
3 |
|
|
2.5 |
2 |
3 |