Disposal value at the end of the estimated

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A piece of equipment costs $38,000, and is expected to generate $8,200 of annual cash revenues and $1,800 of annual cash expenses. The disposal value at the end of the estimated 8-year life is $2,000. Ignoring income taxes, the payback period is:

8.17 years.

5.94 years.

4.63 years.

None of these.

5.63 years.

Reference no: EM13787659

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