Q: A machine whose investment cost (10) million, maintenancecosts and the addition of some accessories to it in the third year(1) million, and its revenues for the first year amounted to (1) million,for the second year (2) million, for the third and sixth year, (3)million, for the seventh year and to the end of life The machine (4)million. Find the payback period for its capital. I suppose that theage of the machine is (10) years. Note: All amounts are in Iragi dinars1Add file

The time taken to recoup the price of an investment is referred to as the payback period.

Answered: ge of the machine is (10) years. Note:…

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ge of the machine is (10) years. Note: All amounts are in Add file

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Question

Q: A machine whose investment cost (10) million, maintenance
costs and the addition of some accessories to it in the third year
(1) million, and its revenues for the first year amounted to (1) million,
for the second year (2) million, for the third and sixth year, (3)
million, for the seventh year and to the end of life The machine (4)
million. Find the payback period for its capital. I suppose that the
age of the machine is (10) years. Note: All amounts are in Iragi dinars
1Add file

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