Calculate payback period for both projects

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Reference no: EM13143169

Investment required immediately $150,000 $180,000
Annual cash inflow $45,000 over 6yrs $50,000 over 8yrs

Depreciation over specified number of year with no salvage value expected 5 years 6 years

The cost of capital is 10 %

Required:

Calculate the payback period for both projects

Reference no: EM13143169

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