Discounted dollars in the payback calculation

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Reference no: EM13811219

How many years will it take to payback an investment of $100,000 given annual end-of-year cash flows of: $25,000, $30,000, $35,000, $40,000, $55,000? (Use nominal dollars rather than discounted dollars in the payback calculation.)

a. 3.25 years

b. 3.50 years

c. 3.75 years

d. 4 years

Reference no: EM13811219

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