A machine costs 5240 and produces benefits of 1000 at the, Microeconomics

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A machine costs 5240 and produces benefits of 1000 at the

Question: A machine costs $5240 and produces benefits of $1000 at the end of each year for 8 years. Assume an annual interest rate of 10%.

(a) What is the payback period (in years)?

(b ) What is the breakeven point (in years)?

(c ) Since the answers in (a) and (b) are different, which one is "correct"?

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Microeconomics: A machine costs 5240 and produces benefits of 1000 at the

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