What is the projects payback period

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Problem 1: A project requires an investment of $120000 today and it will generate after-tax cash flows of $40000 at the end of year 1, $50000 at the end of year 2, $15000 at the end of year 3, and $15000 at the end of year 4. The company's weighted average cost of capital is 10.2% per year. What is the projects payback period?

Reference no: EM132743013

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