Calculate the payback period of the investment

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Question 1: An initial investment on machinery of R10 000 is expected to generate cash inflows of R3 000, R4 000, R5 000 and R6 000 at the end of the first, second, third and fourth year respectively. Assist your manager. Calculate and interpret the NPV of the investment if the discount rate is 15%. In addition, calculate and interpret the payback period of the investment

Reference no: EM132519760

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