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Each of the following scenarios is independent. All cash flows are after-tax cash flows. Required: 1. Brad Blaylock has purchased a tractor for $86,250. He
Each of the following scenarios is independent. All cash flows are after-tax cash flows. Required: 1. Brad Blaylock has purchased a tractor for $86,250. He expects to receive a net cash flow of $32,750 per year from the investment. What is the payback period for Jim? Round your answer to two decimal places 2.63 years 2. Bertha Lafferty Invested $387,500 in a laundromat. The facility has a 10-year life expectancy with no expected salvage value. The laundromat will produce a net cash flow of 5122,000 per year. What is the accounting rate of return? Enter your answer as a whole percentage value (for example, 16 should be entered as "16" in the answer box) 0.21 X 36 3. Melannie Bayless has purchased a business building for $325,000. She expects to receive the following cash nows over a 10-year period Year 1: 540,000 Year 2: $60,000 Year 3-10: 587,600 What is the payback period for Metannie? Round your answer to one decimal place years What is the accounting rate of return? Enter your answer as a whole percentage Value (for example, 169 should be entered as "16th the
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