What is the payback time for this investment in years

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Repositioning machines on the production floor cost $20,000. The efficiencies gained with the new configuration resulted in a cost savings of $1500 in the first year. In the second year, there were costs savings of $1000 and production increases that totaled $2900. Thereafter, there were production increases that totaled $3000 per year. What is the payback time for this investment in years?

Reference no: EM132175800

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