Cannon Hospital is considering purchasing an ultrasound machine for $2, 270,000. The machine has a 10-year life and an estimated salvage value of $30,000 Installation costs and freight charges will be $48, 400 and $1.500. respectively. The hospital uses straight line depreciation. Cannon estimates that the machine will be used five times a week with the average charge to the patient for ultrasound of $ 1.700 There are $20 in medical supplies and $30 of technician costs for each procedure performed using the machine. Instructions Compute the payback period for the new ultrasound machine Compute the annual rate of return for the new machine Visor Enterprises is considering three new projects, each requiring an equipment investment of $ 20.000. Each project will last for 3 years and produce the following cash inflows The equipment's salvage value is zero Visor uses straight line depreciation Visor will not accept any project with a payback period over 2 years. Visor's minimum required rate of return is 12% Instructions Compute the net present value of each project Does your evaluation change? (Round to nearest dollar) Cactus Industries recently purchased a new machine for its factory operations at a cost of $1, 680,000. The investment is expected to generate $500,000 in annual cash flows for a period of live years The required rate of return is 12%. The new machine is expected to have zero salvage value at the end of the five-year period. Instructions Calculate the internal rate of return (table 2 from Appendix C is needed.)