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pizza pizazz is considering purchasing a new pizza oven that costs $180,000 and will last 5 years. it should increase net operating income by $14,000 year and will be depreciated using the straight-line method. the old pizza oven will be traded in and has a salvage value of $20,000. the payback period for the new oven is blank years. multiple choice question. 3.2 3.48 11.4 3.6

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ashishdwivedilVT

In capital planning, the term "payback period" describes the amount of time needed to recover investment costs or to break even.

What is Payback Period ?

The payback period would be two years, for instance, if an investment of $1,000 was made at the beginning of year one and returned $500 at the conclusion of year one and year two, respectively.

The time it takes to recoup the cost of an investment is referred to as the payback period. It is simply the amount of time it takes an investment to break even.

The payback period is crucial since people and businesses invest money primarily to be reimbursed.

Learn more about payback period here

https://brainly.com/question/13978071

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