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Discus how long is the payback period on this investment

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Reference no: EM131775097

Equipment was purchased for $122,400 and it is estimated to have a $6,000 salvage value at the end of its estimated 8-year life. The equipment is estimated to generate cash inflows of $18,000 each year and will be depreciated by using the straight-line method. How long is the payback period on this investment?

Reference no: EM131775097

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