Question 16
A project has the following cash flows: Year 0: -10000, Year 1: 500, Year 2: 1000, Year 3: 1500, Year 4: 2000, Year 5: 2500, Year 6: 2500, Year 7: 2500. What is the Payback Period?
2 years
4 years
6 years
7 years
A project has the following cash flows: Year 0: -10000, Year 1: 500, Year 2: 1000, Year 3: 1500, Year 4: 2000, Year 5: 2500, Year 6: 2500, Year 7: 2500. What is the Payback Period?
2 years
4 years
6 years
7 years
Correct answer
6 years
Question 16 of 25 in the IIT Madras BS Corporate Finance (Corporate Finance) Quiz 1 paper sat on 15 Mar 2026, in the January 2026 term (Corporate Finance 15 Mar 26). It carries 4 marks.