edu 018) EC0 202 )-Pr Homework Saved Compute the payback period for each of these two separate investments: a. A new operating system for an existing machine is expected to cost $270,000 and have a useful life of four years. The system b. A machine costs S190.000, has a $14.000 salvage value. is expected to last nine years, and wll generate an ofter-tax income of yields an incremental after-tax income of $77,884 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $10,000. $43,000 per year after straight-line depreciation. Choose Ch Payback Period Cost of investment / Annual net cash flow Payback period 142.8841.1 1.89|years 270,000s 190,000 a. b. ces