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Gibson Hardware is adding a new product line that will require an investment of $1,418,000. Managers estimate that this investment will have a 10 -year
Gibson Hardware is adding a new product line that will require an investment of $1,418,000. Managers estimate that this investment will have a 10 -year life and generate net cash inflows of $335,000 the first year, $290,000 the second year, and $240,000 each year thereafter for eight years. The investment has no residual value. Compute the payback period
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