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Linden Corp. is considering an investment that requires immediate payment of $40,000 and provides expected cash inflows of $16,000 annually for 6 years. Linden Corp. requires a 10% return on its investments.

Requirement 1: Compute the payback period for this investment.

Requirement 2: Compute the net present value of this investment.

Requirement 3: Compute the internal rate of return for this investment.

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  • Reference No.:- M92585122
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