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Assume a $42,000 investment and the following cash flows for two alternatives.
year. investment x. investment y
1. $15,000. $22,000
2. 14,000. 15,000
3. 10,000. 10,000
4. 15,000. ----
5. 20,000. ------
Calculate the payback for investment x and y.
Financial Management, Finance
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