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What is the payback period for this project

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Question - Please help me with this question. Assume the following facts: A project will cost $ 45,000 to develop. When the system becomes operational, after a one- year development period, operational costs will be $ 9,000 during each year of the system's five- year useful life. The system will produce benefits of $ 30,000 in the first year of operation, and this figure will increase by a compound 10% each year. What is the payback period for this project?

Reference no: EM131774911

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