Question
Root Products is considering acquiring a manufacturing plant. The purchase price is $1,050,000. It is believed that the plant will generate a $300,000 increase in
Root Products is considering acquiring a manufacturing plant. The purchase price is $1,050,000. It is believed that the plant will generate a $300,000 increase in cash flow. It is believed the building will be outgrown in 8 years. What is the payback period?
| a. | 3.5 years | |
| b. | 8 years
| |
| c. | 6.5 years | |
| d. | 3 years |
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Auditing And Assurance Theory And Practice
Authors: Clifford Gomez
1st Edition
8120345665, 978-8120345669
