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Using the subtraction method of payback, a company is considering making a $550,000 investment in new equipment. The expected cash flows are as follows: Year
Using the subtraction method of payback, a company is considering making a $550,000 investment in new equipment. The expected cash flows are as follows: Year 1 = $75,000 Year 2 = $140,000 Year 3 = $200,000 Year 4 = $110,000 Year 5 = $60,00.
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