Capital expenditure that requires an initial investment

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Reference no: EM131192474

Jordan Enterprises is considering a capital expenditure that requires an initial investment of $30,000 and returns after-tax cash inflows of $ 4857 per year for 10 years. The firm has a maximum acceptable payback period of 8 years.

A) Determine the payback period for this project

B) Should the company accept the project?

Reference no: EM131192474

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