Multiple Choice
Aston Advertising is considering the purchase of a special purpose machine for $22 000. It is expected to have a useful life of ten years with no salvage value. The firm's accountant estimates savings in cash operating costs of $5000 per year. Compute the pay-back period.
A) 4.6 years
B) 4.4 years
C) 6.2 years
D) 5.6 years
Correct Answer:
Verified
Correct Answer:
Verified
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