Globe Enterprises purchased a new machine with a total cost of $30,450 and a useful life of 6 years.The machine will produce net cash inflows of $7,250 over its useful life and has a residual value of $2,125.What is the payback period for the new machine?
A) 4.49 years
B) 3.91 years
C) 4.20 years
D) 3.25 years
Correct Answer:
Verified
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