eBook Payback, Accounting Rate of Return, Net Present Value, Internal Rate of Return Follow the format shown in Exhibit 128.1 and Exhibit 128.2 as you complete the requirements below. Blaylock Company wants to buy a numerically controlled (NC) machine to be used in producing specially machined parts for manufacturers of tractors. The outlay required is $384,000. The NC equipment will last 5 years with no expected salvage value. The expected after-tax cash flows associated with the project follow: Year Cash Revenues Cash Expenses 1 $510,000 $360,000 2 $10,000 360,000 3 510,000 360,000 510,000 360,000 S 510,000 360,000 Required: 1. Compute the payback period for the NC equipment. Round your answer to two decimal places. 2.56 years 2. Compute the NC equipment's ARR. Round the percentage to one decimal place. Assume straight-line depreciation. 19.06 % 3. Compute the investment's NPV, assuming a required rate of return of 10%. Round present value calculations and your final answer to the nearest dollar 184,618 X 4. Compute the investment's IRR -Compute the NC equipment's ARR. Round the percentage to one decimal place. Assume straight-line depreciation. 19.06 % Compute the investment's NPV, assuming a required rate of return of 10%. Round present value calculations and your final answer to the nearest dollar. 184,618 X Compute the investment's IRR. etween 25% and 30% Feedback Check My Work 1. Payback formula for even cash flows: Payback Period Original Investment/Annual Cash Flow Review the "How to Calculate Payback" example in the text. 2. Accounting Rate of Return (ARR): Average Net Income Accounting Rate of Return Investment Assume straight-line depreciation