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Assume a company is going to make an investment of $445,000 in a machine and the following are the cash flows that two different
Assume a company is going to make an investment of $445,000 in a machine and the following are the cash flows that two different products would bring in years one through four. Option A, Option B, Product A Product B $195,000 $150,000 190,000 175,000 55,000 60,000 15,000 70,000 A. Calculate the payback period of each product. Round your answers to 2 decimal places. Option A, Product A Option B, Product B years years B. Which of the two options would you choose based on the payback method?
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