1 Check my work 1 2. points Lakeside Inc. is considering replacing old production equipment with state-of-the- art technology that will allow production cost savings of $10,000 per month. The new equipment will have a five-year life and cost $420,000, with an estimated salvage value of $30,000. Lakeside's cost of capital is 12%. Lakeside Inc. uses a straight-line depreciation method. eBook Hint References Required: Calculate the payback period and the accounting rate of return for the new production equipment. equipment. (Round your answers to 2 decimal places.) Payback period Accounting rate of return years %