Find traditional payback period for intial investment

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1. Find the traditional payback period for an intial investment of $110,000 with cash flows of 25,000 for 5 years. Should the project be purchased?

2. Albert Pizza purchased new machinery for $150,000. It cost $10,000 to ship the machinery and it cost another $8,000 to get it installed. Using the MACRS 5 year class, what is the depreciation for years 4?

Reference no: EM131917947

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