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Baylor Lumber Products is considering the purchase of a high-efficiency conveyor system. Two manufacturers have approached Baylor with proposals: (1) Duke Industries and (2) Wake
Baylor Lumber Products is considering the purchase of a high-efficiency conveyor system. Two manufacturers have approached Baylor with proposals: (1) Duke Industries and (2) Wake Manufacturing. Regardless of which vendor Baylor chooses, the following incremental cash flows are expected to be realized: Required: a. If the machine manufactured by Duke Industries costs $30,000, what is its expected payback period? b. If the machine manufactured by Wake Manufacturing has a payback period of 48 months, what is its cost? c. Which of the machines is most attractive based on its respective payback period? Complete this question by entering your answers in the tabs below. If the machine manufactured by Duke industries costs $30,000, what is its expected payback period? Complete this question by entering your answers in the tabs below. If the machine manufactured by Wake Manufacturing has a payback period of 48 months, what is its cost? Complete this question by entering your answers in the tabs below. Which of the machines is most attractive based on its respective payback period
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