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A new bottling machine will cost $24,000 initially. The machine will produce after-tax cash flows of $4,000 in the first year and $7,000 each year
A new bottling machine will cost $24,000 initially. The machine will produce after-tax cash flows of $4,000 in the first year and $7,000 each year thereafter for 4 years. Your company's cost of capital is 6%.
What is the payback period for this project?
What is the discounted payback period for this project?
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