Problem:
An investment project has annual cash inflows of $4,600, $3,700, $4,900, and $4,100, and a discount rate of 13 percent.
Required:
Question 1: What is the discounted payback period for these cash flows if the initial cost is $5,500?
Question 2: What is the discounted payback period for these cash flows if the initial cost is $7,600?
Question 3: What is the discounted payback period for these cash flows if the initial cost is $10,600?
Note: Please provide equation and explain comprehensively and give step by step solution.