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spayn [35]
3 years ago
8

Jessica is investing in a capital equipment for her printing press. She wants to know how long it will take for her investment t

o be returned in the form of savings. The new equipment costs $600,000, and the maintenance costs of the new equipment will save her $120,000 per year. The payback period is _____.
Business
1 answer:
Dafna1 [17]3 years ago
4 0

Answer:

5 years

Explanation:

Data provided in the question;

Cost of the new equipment = $600,000

Savings on the maintenance cost per year = $120,000

Now,

The Payback period is given using the formula = \frac{\textup{Initial invested amount}}{\textup{Positive cash flow per year}}

also, the positive cash flow is the annual savings with new equipment

therefore,

The Payback period is given using the formula = \frac{\$\textup{600,000}}{\$\textup{120,000}}

or

The Payback period is given using the formula = 5 years

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The given statement is "False".

Explanation:

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Even though the procedure called for you to do so, organic chemists typically do not weigh sodium sulfate when it is used for th
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Explanation:

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Explanation:

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Answer:

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