Formula:
Payback Period (Years) = Initial Investment / Annual Cash Inflow
Decision Rule:
- If Payback Period < Target: ACCEPT
- If Payback Period > Target: REJECT
How to use this tool:
- Enter the initial investment amount and select the currency unit.
- Enter the annual uniform cash inflow.
- Click "Calculate" to compute the payback period.
- The result will show the payback period in years and months.
- Click "Reset" to clear all fields and start over.
What is Payback Period?
Payback period is the time it takes for the undiscounted operating cash flows from a project to pay back the initial investment.
| Feature | Details |
|---|---|
| Price | Free |
| Rendering | Client-Side Rendering |
| Language | JavaScript |
| Paywall | No |

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