Learn: Calculating Payback Period for Investments
AQA A-Level Business (7132)
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What does the payback period measure?
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A business invests £15,000 in new machinery. If yearly cash inflows are £3,000, what is the payback period in years?
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Which of the following are advantages of using the payback period? (Select all that apply)
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If an investment generates cash inflows of £4,000 in year 1 and £6,000 in year 2, the cumulative inflow after year 2 is {{blank0}}.
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Match the items on the left with their correct pairs on the right
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