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R Company is studying a project that would have a ten-year life and would require an 601032 investment in equipment which has $42687 salvage value.
R Company is studying a project that would have a ten-year life and would require an 601032 investment in equipment which has $42687 salvage value. The project would provide $88757 annual net operating income (including $39353 depreciation expense) for the life of the project. The company's required rate of return is 8%. What is the payback period for this project? Round to the nearest year.
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