A company is considering the purchase of a new machine for

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A company is considering the purchase of a new machine for $48000. management predicts that the machine can produce sales of $16000 each year for the next ten years. Expenses are expected to include direct labor, and factory overhead totaling $8000 per year plus depreciation of $4000 per year. the company tax rate is 40%. what is the payback period for the new machine?

Reference no: EM13612407

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