Question: Van Auken Inc. is considering a project that has the following cash flows: Year Cash Flow 0 -$1,600 1 500 2 400 3 550 4

Van Auken Inc. is considering a project that has the following cash flows:

Year

Cash Flow

0

-$1,600

1

500

2

400

3

550

4

400

The companys WACC is 10%. What is the projects ordinary payback?

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