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Can I get help with this please? A company ls planning to purchase a machine that will cost $29,400, have a six-year life, and be
Can I get help with this please?
A company ls planning to purchase a machine that will cost $29,400, have a six-year life, and be depreclated over a three-year perlod with no salvage value. The company expects to sell the machine's output of 3,000 units evenly throughout each year. A projected Income statement for each year of the assets life appears below. What Is the payback perlod for this machlne? $117,000 Sales Cost $52,900 Manufacturing Depreciation on machine 4,900 Selling and administrative expenses 39,000 (96,800) $20,200 Income before taxes Income tax (40%) (8,080) $12120 Net Income O 6.00 years O 4.85 years. O 2.43 years. O 173 years. 21Step by Step Solution
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