Menu PMI Prep Exam 7


45. You are a project manager for the Swirling Seas Cruises food division. You're considering two different projects regarding food services on the cruise lines. The initial cost of Project Fish'n for Chips will be $800,000, with expected cash inflows of $300,000 per quarter. Project Picnic's payback period is six months. Which project should you recommend?

A. Project Fish'n for Chips, because the costs on Project Picnic are unknown.

B. Project Picnic, because Project Fish'n for Chips' payback period is two months longer than Project Picnic's.

C. Project Picnic, because Project Fish'n for Chips' payback period is four months longer than Project Picnic's.

D. Project Fish'n for Chips, because its payback period is two months shorter than Project Picnic's.

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