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Suppose that cash flows of a project are given as follows: Year 0 : Costs: $150,000. Year 1 : Costs: $20,000. Savings: $50,000. Year 2:

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Suppose that cash flows of a project are given as follows: Year 0 : Costs: $150,000. Year 1 : Costs: $20,000. Savings: $50,000. Year 2: Costs: $20,000. Savings: $60,000. Year 3: Costs: $20,000. Savings: $70,000. Year 4 : Costs: $20,000. Savings: $80,000. It is known that MARR is 10% and all cash flows occur at the end of the year, what is the project's Payback Period? 1 Year 2 Years 3 Years 4 Years This project does not pay back

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