CIMA BA2 Question Answer
A company is considering investing $57,000 in a machine that will last for five years, after which time it will have no value. The machine will generate additional revenue of $190,000 each year. Annual running costs, including depreciation of $11,400 will amount to $168,400.
Assuming that all cash flows occur evenly, the payback period of the investment in the machine is closest to:
CIMA BA2 Summary
- Vendor: CIMA
- Product: BA2
- Update on: Jul 29, 2025
- Questions: 392
