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What is the payback on the computer package

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Reference no: EM132420547

A small accounting firm is considering the purchase of a computer software package that would reduce the amount of time needed to prepare tax forms. The software costs $1,500. The firm estimates that it will save $750 per year if the software is used.

  1. What is the payback on the computer package?
  2. The firm may instead buy a more sophisticated computer package for $3,000. Assuming the same $750 annual savings is relevant, what is the payback on this package?

Reference no: EM132420547

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