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If an asset costs $250,000 and is expected to have a $25,000 salvage value at the end of its ten-year life, and generates annual net

If an asset costs $250,000 and is expected to have a $25,000 salvage value at the end of its ten-year life, and generates annual net cash inflows of $50,000 each year, the cash payback period is

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4.5 years

4 years.

5.4 years

5 years.

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