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A pizza place is buying a number of motorcycles to expand its delivery service. These will cost $80,000, but are expected to increase profits by
A pizza place is buying a number of motorcycles to expand its delivery service. These will cost $80,000, but are expected to increase profits by $4000 per month over the next four years. The discount rate is 10%.
What is the payback period in this case?
- A.
29 months
- B.
24 months
- C.
12 months
- D.
20 months
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