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How many years will it takes for the dam to pay for itself

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The average annual cost of damages caused by floods to a certain subdivision located along the Pasig River is estimated at P700, 000. To build a gravity dam to protect the area from floods would cost Php2,500,000.00 and would involve an annual cost of P20,000. With interest at 8% compounded annually, how many years will it takes for the dam to pay for itself?

Reference no: EM133083597

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