An anticipated purchase of equipment for $600,000, with a useful life of 8 years and no residual

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An anticipated purchase of equipment for $600,000, with a useful life of 8 years and no residual value, is expected to yield the following annual net incomes and net cash flows:

B 14 21 39 47 68 7 22 44 53 64 3 16 FREE 60 | 61 1 46 75 29 | 42 13 18 | 31 59 71

What is the cash payback period?
a. 5 years
b. 4 years
c. 3 year
d. 6 years

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Intermediate accounting

ISBN: 978-0077647094

7th edition

Authors: J. David Spiceland, James Sepe, Mark Nelson

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Question Posted: Feb 01, 2018 07:36 AM

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An anticipated purchase of equipment for $600,000, with a useful life of 8 years and no residual

Question:

B 14 21 39 47 68 7 22 44 53 64 3 16 FREE 60 | 61 1 46 75 29 | 42 13 18 | 31 59 71

Step by Step Answer:

d 6 years Year Net cash flow ...View the full answer

Intermediate accounting

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