5. Cullumber Corp. is considering the purchase of a piece of equipment that costs $10000. Projected net annual cash flows over the projects life are:

Year	Net Annual Cash Flow
1	$2000
2	5000
3	5000
4	7000

The cash payback period is

1.95 years.

2.50 years.

2.55 years.

2.60 years.

6. Tamarisk Company is considering the purchase of a machine with an estimated useful life of 5 years with the following data:

Initial cost	$190000
One-time training cost	26400
Annual maintenance costs	19000
Annual cost savings	95000
Salvage value	24700

The cash payback period is

2.32 years.

2.50 years.

2.85 years.

2.77 years.

8. Use the following table,

	Present Value of an Annuity of 1
Period	8%	9%	10%
1	0.926	0.917	0.909
2	1.783	1.759	1.736
3	2.577	2.531	2.487

A company has a minimum required rate of return of 9%. It is considering investing in a project which costs $300000 and is expected to generate cash inflows of $160000 at the end of each year for three years. The net present value of this project is

$404960.

$104960.

$40496.

$80000.

Please answer all! Thank you!