What is the payback period-creighton inc

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Creighton, Inc. has invested $2 million on equipment. The firm uses payback period criteria of not accepting any project that takes more than four years to recover costs. The company anticipates cash flows of $250,000, $350,000, $450,000, $550,000, $750,000, and $850,000 over the next six years. What is the payback period, and does this investment meet the firm's payback criteria? (Round your answer to two decimal places.)

Reference no: EM132596684

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