A company is considering purchasing factory equipment that costs

A company is considering purchasing factory equipment that costs $552000 and is estimated to have no salvage value at the end of its 8-year useful life. If the equipment is purchased, annual revenues are expected to be $135000 and annual operating expenses exclusive of depreciation expense are expected to be $39000. The straight-line method of depreciation would be used. The cash payback period on the equipment is O 8.0 years. 0 20.4 years. 0 5.8 years. 0 2.9 years