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    janemorales's Avatar
    janemorales Posts: 26, Reputation: 1
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    #1

    May 28, 2008, 09:10 PM
    Payback period of investment
    A company paid 50,000 cash for a capital investment. The company expects the investment to generate net cash inflows of 8,400 per year. What is the payback period of this investment?

    I said about 6years - is that correct?
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
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    #2

    May 29, 2008, 01:03 AM
    Yup.
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