Processing equipment having negligible salvage value

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Reference no: EM131318810

$400,000 is invested in processing equipment having a negligible salvage value regardless of the number of years used. Annual cost savings equal $50,000 the first year and increase 12% per year. Based on a MARR of 12%, what is the PBP for the equipment investment? DPBP for the equipment investment?

Reference no: EM131318810

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