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Business, 06.08.2021 16:30 catdog5225

A machine can be purchased for $60,000 and used for five years, yielding the following net incomes. In projecting net incomes, straight-line depreciation is applied using a five-year life and a zero salvage value. Year 1 Year 2 Year 3 Year 4 Year 5
Net income $3,900 $9,900 $32,000 $14,700 $39,600

Required:
Compute the machine’s payback period (ignore taxes).

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A machine can be purchased for $60,000 and used for five years, yielding the following net incomes....
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