An investment of P 270,000 can be made in a project that will produce a uniform annual revenue of P 185,400 for 5 years and having a salvage value of 10% of the investment. Out of pocket costs for operation and maintenance will be P 81,000 per year. Taxes and insurance will be 4% of the first cost per year. The company expects capital to earn not less than 25% before income taxes. Determine the payout period of this investment.

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