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Problem -
Year
Investment
Cash Inflow
1
$58,000
$4,000
2
$8,000
3
$11,000
4
$14,000
5
$17,000
6
$15,000
7
$13,000
8
9
$10,000
10
Required:
1. Determine the payback period of the investment.
2. Would the payback period be affected if the cash inflow in the last year were several times as large?
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