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Nelson Corp. is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in cash flow of $135,830. The equipment will have an initial cost of $532,000 and have a 5 year life. If the salvage value of the equipment is estimated to be $192,000, what is the accounting rate of return? Ignore income taxes Palmer Corp. is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in net income after tax of $128,000. The equipment will have an initial cost of $488,000 and have a 12 year life. If the salvage value of the equipment is estimated to be $80,000, what is the payback period? Newport Corp. is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annual increase in cash flow of $205,000. The equipment will have an initial cost of $974,000 and have a 6-year life. There is no salvage value for the equipment. If the hurdle rate is 8%, what is the approximate net present value? Ignore income taxes. (Future Value of $1, Present Value of $1, Future Value Annuity of $1, Present Value Annuity of $1.) (Use appropriate factor from the PV tables. Round your final answer to the nearest dollar amount.) Lawrence Corp. is considering the purchase of a new piece of equipment. When discounted at a hurdle rate of 9%, the project has a net present value of $24,670. When discounted at a hurdle rate of 11%, the project has a net present value of ($28,950). The internal rate of return of the project is