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If an asset costs $240,000 and is expected to have a $40,000 salvage value at the end of its ten-year life, and generates annual net

If an asset costs $240,000 and is expected to have a $40,000 salvage value at the end of its ten-year life, and generates annual net cash inflows of $40,000 each year, the cash payback period is

7 years

6 years.

5 years

4 years

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