Giggins Limited is planning to expand its business. The expansion will cost £350,000 initially to purchase new premises and a further £150,000 to purchase equipment. Net cash inflows from the next seven years ofthe project are as follows:Year Net cash inflows1 60,0002 80,0003 130,0004 150,0005 175,0006 250,0007 275,000In which year would Giggins' investment be fully recovered?
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Giggins Limited is planning to expand its business. The expansion will cost £350,000 initially to purchase new premises and a further £150,000 to purchase equipment. Net
the project are as follows:
Year Net cash inflows
1 60,000
2 80,000
3 130,000
4 150,000
5 175,000
6 250,000
7 275,000
In which year would Giggins' investment be fully recovered?
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