1) Managerial accounting.

• 

Henry Co. is considering acquiring a manufacturing plant. The purchase price is $1,200,000. The owners believe the plant will generate net cash inows of $325,000 annually. It will have to be replaced in six years. Use the payback method to determine whether Henry should purchase this plant. Round to one decimal place. Select the formula, then enter the amounts to calculate the payback period for the plant. (Round payback to one decimal place, XX.) l VI + = Payback + = years Amount invested ' Average amount invested Int must be replaced, so the payback method Y purchasing the plant. Expected annual net cash inflow Present value of net cash inows Henry Co. is considering acquiring a manufacturing plant. The purchase price is $1,200,000. The owners believe the plant will generate net cash inows of $325000 annually. It will have to be replaced in six years. Use the payback method to determine whether Henry should purchase this plant. Round to one decimal place. Select the formula, then enter the amounts to calculate the payback period for the plant. (Round payback to one decimal place, X.X.) + = years "he payback occurs : the plant must be replaced, so the payback method : purchasing the plant. exactly when well after well before Henry Co. is considering acquiring a manufacturing plant. The purchase price is $1,200,000. The owners believe the plant will generate net cash inows of $325,000 annually. It will have to be replaced in six years. Use the payback method to determine whether Henry should purchase this plant. Round to one decimal place. Select the formula, then enter the amounts to calculate the payback period for the plant. (Round payback to one decimal place, XX.) + = years "he payback occurs V the plant must be replaced, so the payback method V purchasing the plant. does not support supports