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What is the payback period

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Question - A florist is buying a number of motorcycles to expand its delivery service. These will cost $65,000 but are expected to increase cash flows over the next 4 years as shown in the following table. What is the payback period?

Year 0 = -65,000

Year 1 = 19,200

Year 2 = 29,500

Year 3 = 53,067

Year 4 = 9600

Reference no: EM132919025

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