Bruh I don't know does anyone?

[Anonymous]

Calculate the payback period of a project which requires £10,000 initial investment and yields an annual cash flow of £4,000 for 10 years.

a) 2.5 years

b) 2 years

c) 3 years

d) 10 years

[slatyb]

Is there an interest rate given? 10,000 today will be more than 10,000 in 2 years. Otherwise just divide 10,000 by 4,000.

[shortster]

2.5 years if there is no interest. 3 years if there is. 10 years if there is interest and you want to have an income during the first few years.