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think about the two programs c has a three-year life after the initial investment, and b has a four-year life. The cost of capital is

think about the two programs c has a three-year life after the initial investment, and b has a four-year life. The cost of capital is 15%.

0 1 2 3 4

c -100 40 50 60 N/A .15

d -73 30 30 30 30 .15

What are the payback periods of c and b?

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