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6 B2B Co. is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment is
6 B2B Co. is considering the purchase of equipment that would allow the company to add a new product to its line. The equipment is expected to cost $480,000 with a 12-year life and no salvage value. It will be depreciated on a straight line bashs. The company expects to sell 192,000 units of the equipment's product each year The expected annual income T related to this equipment follows 09 points 100.000 Costs Materials, Labor, and overhead (except depreciation on new equipment) 160,009 40,000 Depreciation on new equipment Selling and adeinistrative expenses Total costs and expenses Pretax income Income taxes (48%) Net income eBlook 0,000 42,00 Print References 1. Compute the payback period. 2. Compute the accounting rate of return for this equipment. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the payback period Numerator:Choose Denominator:Payback Period O Type here to search
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