Valid PMP Dumps shared by EduDump.com for Helping Passing PMP Exam! EduDump.com now offer the newest PMP exam dumps, the EduDump.com PMP exam questions have been updated and answers have been corrected get the newest EduDump.com PMP dumps with Test Engine here:
There is two projects to choose the best one. Project X has a payback period of 26 months. Project Y has a cost of $500,000, with expected cash inflows of $200,000 the first year and $50,000 per quarter after that. Which project should you recommend?
Correct Answer: D
Project Y has a cost of $500,000. After 1 year remaining cost is $500,000 - $200,000 = $300,000. < li > peried for remaining cost is $300,000 / $50,000 = 6 quater = 6*3 months = 18 months. < li >Total payback period for project Y = 1 year + 18 months = 30 months < li >The lower the payback period, the better.