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Exercise 24-5 Payback period computation; even cash flows LO P1 Compute the payback period for each of these two separate investments: a. A now operating

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Exercise 24-5 Payback period computation; even cash flows LO P1 Compute the payback period for each of these two separate investments: a. A now operating system for an existing machine is expected to cost $240,000 and have a useful life of four years. The system yields an incremental after tax income of $69.230 each year after deducting its straight line depreciation. The predicted salvage b. A machine costs $200,000, has a $13,000 salvage vative, as expected to last ten years, and wit generate an after tax income of $38.000 per year after straight-line depreciation Choose Numerator: Payback Period Choose Denominator Payback Period Payback period 0 MacBook Pro Q N C > B N M

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