Ener-go is considering buying a new water treatment system for its plant in Austin, Texas. The company screens its potential capital investments using the payback and accounting rate of return methods. If a potential investment has a payback of less than six years and a minimum 16% accounting rate of return, it will be considered further. The data for the water treatment system follow: B Click the icon to view the water treatment system data.) Read the requirements. Requirement 1. Compute the water treatment system's payback. (Round your answer to one decimal place, X.X.) Amount invested Expected annual net cash inflow Payback Data Table - $ 37,800 $ - 9,000 4.2 years Requirement 2. Compute the water treatment system's ARR. (Round the percentage to the nearest tenth percent, X.X%.) Cost of water treatment system $ 37,800 Average annual operating income Average amount invested ARR 0 = % Estimated residual value Estimated annual net cash inflow (each year for 7 years) from anticipated environmental cleanup savings Estimated useful life 9,000 7 years Print Done