Give Solution A machine is under consideration for investment. The cost of the machine is P25,000.00. Each year it operates, the machine will generate a savings of P15,000.00. Given the effective annual interest rate of 18%, what is the discounted payback period, in years, on the investment of the machine?

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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5:58 A
N 37% &
( Title
Give Solution
A machine is under consideration for
investment. The cost of the machine is
P25,000.00. Each year
it operates, the machine will generate a
savings of P15,000.00. Given the effective
annual interest
rate of 18%, what is the discounted
payback period, in years, on the
investment of the machine?
1/1
ET
T
T
17
II
Transcribed Image Text:5:58 A N 37% & ( Title Give Solution A machine is under consideration for investment. The cost of the machine is P25,000.00. Each year it operates, the machine will generate a savings of P15,000.00. Given the effective annual interest rate of 18%, what is the discounted payback period, in years, on the investment of the machine? 1/1 ET T T 17 II
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