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Lenitnes Company is considering an investment in technology to improve its operations. The investment will require an initial outlay of $264,000 and will yield
Lenitnes Company is considering an investment in technology to improve its operations. The investment will require an initial outlay of $264,000 and will yield the following expected cash flows. Management requires investments to have a payback period of 4 years, and it requires a 8% return on its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the table provided.) Period 12345 Cash Flow $123,200 92,900 70,600 53,600 48,200 Required: 1. Determine the payback period for this investment. 2. Determine the break-even time for this investment. 3. Determine the net present value for this investment. Complete this question by entering your answers in the tabs below.
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