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Christopher Electronics bought new machinery for $5,030,000 million. This is expected to result in additional cash flows of $1,220,000 million over...

Christopher Electronics bought new machinery for $5,030,000 million. This is expected to result in additional cash flows of $1,220,000 million over the next 7 years. What is the payback period for this project? Their acceptance period is five years.

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Pay back period = Investment / annual cash inflow = 5030,000 / 1220,000 = 4.12 years... View the full answer

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