Diamond Company is considering the purchase of a new machine for $80,000. The machine would generate an annual cash flow of $14,767 for 6 years. At the end of six years, the machine would have no salvage value. The company's cost of capital is 10%. The company uses straight-line depreciation. What is the internal rate of return for the machine rounded to the nearest percent? (Note: Round the discount factor to three decimal places.)

a.9%

b.5%

c.3%

d.7%

Tom has just invested $150,000 in a coffee shop. He expects to receive cash income of $10,000 a year. What is the payback period?

a.10 years

b.22 years

c.15 years

d.19 years

e.31 years