Question: Based on the payback rule, which project should be selected: Project A Project B Year 0 -8,000 -8,000 Estimated after tax cash flows Year 2

Based on the payback rule, which project should be selected: Project A Project B Year 0 -8,000 -8,000 Estimated after tax cash flows Year 2 Year 3 4,000 2,000 4,000 3,000 CLEAR MY CHOICE Year 1 4,000

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