EXIN LSSA Six Sigma Black Belt Practice Questions - EXIN LSSA Lean Six Sigma Black Belt Certification Exam

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A Black Belt is calculating the Payback Period and Internal Rate of Return (IRR) for a quality improvement project requiring a $150,000 initial expenditure. The project saves $50,000 annually in reduced scrap and rework. Assuming zero salvage value, what is the simple payback period?

3.0 years 2.5 years 4.0 years 5.0 years

Correct Answer:

3.0 years

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