Krate Inc. is considering a $600,000 investment in new equipment that is anticipated to produce the following net cash inflows:
If cash flows occur evenly throughout a year, the equipment's payback period is:
A) 4 years, 2 months.
B) 4 years, 3 months.
C) 4 years, 4 months.
D) 5 years.
E) Some other period of time not noted.
Correct Answer:
Verified
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