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Compute the payback period for each of these two separate investments a. A new operating system for an existing machine is expected to cost $280,000

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Compute the payback period for each of these two separate investments a. A new operating system for an existing machine is expected to cost $280,000 and have a useful life of six years. The system yields an incremental after-tax income of $80,769 each year after deducting its straight line depreciation. The predicted salvage value of the system is $11,000, b. A machine costs $210,000, has a $15.000 salvage value, is expected to last seven years, and will generate an after-tax income of $44,000 per year after straight line depreciation Payback Period Choose Denominator Choose Numerator: 1 Payback Period Payback period b

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