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6. Oriol Inc. is considering the acquisition of equipment that costs $360,000 and has a useful life of 6 years with no salvage value. The
6. Oriol Inc. is considering the acquisition of equipment that costs $360,000 and has a useful life of 6 years with no salvage value. The incremental net cash flows that would be generated by the equipment are below. Discount rate of 19%. Calculate payback period using undiscounted cash flows. 7. What discount rate would you use for a single outflow in year 6 at a discount rate of 9% ? 8. What discount rate would you use for an annuity of 15 years at a discount rate of 7%
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