alleryStart learning →A Rs 1,000 investment returns Rs 500 at the end of each of two years. The payback period is
A1 year
B3 years
C1.5 years
D2 years
Answer & Solution
Correct answer: D. 2 years
Cumulative inflows reach Rs 1,000 at the end of year 2, so payback is two years.
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