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Compute the payback statistic for project X and recommend whether the firm should accept or reject the project with the cash flows shown. If the

Compute the payback statistic for project X and recommend whether the firm should accept or reject the project with the cash flows shown. If the appropriate cost of capital is 9% and the max allowable pay back is 4 years

Time 0 1 2 3 4 5

Cash flow -1000 -75 100 100 0 2000

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