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Payback Objective: Recover Initial Capital at the end of Year 2.


Payback Target: Number of units sold to reach payback in 2 years from start of operations, December Y2. The analytical procedure is described in Module 4 Case 2.1.

Why this example?

This example refers to the analytical approach changing the number of licenses to obtain a payback at the end of Y2, working with cash flows, financial statements and graphical interpretation.

We shall describe how to find the additional number of units, over the quantities in the baseline cash flow, to be sold, so to reach the payback target a set future date, end of second year in this example. A similar 

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