EXERCISE 13-15 Payback Period and Simple Rate of Return [LOS, LO6] Jamieson Enterprises is considering the development of a go-kart track at an estimated total cost of $680,000. The go-karts would have a $50,000 salvage value at the end of their 10-year useful life. Estimated revenues and costs on an annual basis would be as follows: Ticket revenues. . . . . . . . . $380,000 Less operating expenses: Maintenance and utilities . . . $ 71,000 Salaries. . . . . 130,000 Depreciation*. .. . 63.000 Insurance . . . . 43.000 Total operating expenses . . . . . 307,000 Operating income. . . . . . . . $ 73,000 *($680,000 - $50.000) + 10 Required: Ignore income taxes. 1. Jamieson Enterprises will not proceed with development of the go-kart track unless the payback period is less than six years. Should they proceed