What Is a Payback Period? The payback period is the amount of time (usually measured in years) it takes to recover an initial investment outlay—as measured in after-tax cash flows. For example, if a ...

Making a decision about whether to invest in an energy-reducing retrofit can be tough. As with any important investment, you want to be certain that the benefits outweigh the costs, and that your ...

The payback period is how long it will take to recover money invested in a project, and the so-called straight-payback-period calculation is the simplest way of determining the project's investment ...

Daniel Jassy, CFA, is an Investopedia Academy instructor and the founder of SPYderCRusher Research. He contributes to Excel and Algorithmic Trading. Suzanne is a content marketer, writer, and ...

Switching to solar energy is a major financial commitment and, if you’re like most homeowners, you’ll want to know how long it will take to recoup your investment. This average recovery time, called ...

Will Kenton is an expert on the economy and investing laws and regulations. He previously held senior editorial roles at Investopedia and Kapitall Wire and holds a MA in Economics from The New School ...

Imagine you bought a vending machine for $2,000. This vending machine made you profits of $100 a year, after all expenses. It would take 20 years to recoup your initial investment. The amount of time ...

What Is The CAC Payback Period? The PAYBACK period for customer acquisition costs (CAC) means the time taken by a company to recover the expenses incurred to acquire or onboard new customers. The CAC ...