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Use the following information to answer the following questions. Show work and explanation. 1) What is the payback period? 2) What is the NPV if

Use the following information to answer the following questions. Show work and explanation.

1) What is the payback period?

2) What is the NPV if the discount rate is 20%?

Initial Outlay -$5,000

Year 1 $3,000

Year 2 $3,500

Year 3 $3,200

Year 4 $2,800

Year 5 $2,500

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