The machine is expected to have a useful life of 6 years a


This company is considering the acquisition of a machine that costs $360,000. The machine is expected to have a useful life of 6 years, a negligible residual value, an annual cash flow of $120,000, and annual operating income of $83,721. What is the estimated cash payback period for the machine?

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Finance Basics: The machine is expected to have a useful life of 6 years a
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