Exercise 24-5 Payback period computation; even cash flows LO P1 Compute the payback period for each of these two separate investments: a. A new operating system for an existing machine is expected to cost $300,000 and have a useful life of five years. The system yields an incremental after-tax income of $86,538 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $12,000. b. A machine costs $190,000, has a $16.000 salvage value, is expected to last eight years, and will generate an after-tax income of $47.000 per year after straight-line depreciation Payback Period Choose Denominator Choone Numerator: Payback Parlod Payback period 0 b 0 Required information Use the following information for the Quick Study below. [The following information applies to the questions displayed below.) Park Co. is considering an investment that requires immediate payment of $30,455 and provides expected cash inflows of $9,400 annually for four years. Assume Park Co. requires a 7% return on its investments. QS 24-2 Net present value LO P3 1-a. What is the net present value of this investment? (PV of $1. FV of $1. PVA of $1. and EVA of $1) (Use appropriate factor(s) from the tables provided. Round your present value factor to 4 decimals.) 1-b. Based on NPV alone should Park Co. Invest? Complete this question by entering your answers in the tabs below. Required 1A Required 18 What is the net present value of this investment? Delect Chart Amount X PV Factor Cash Flow Annual cash flow Present Value $ 0 Net present value Reguired 10 > Required 1A Required 1B Based on NPV alone, should Park Co. Invest? Based on NPV alone, should Park Co. invest? Complete this question by entering your answers in the tabs below. Required 1A SER Required 1B Based on its internal rate of return, should Park Co. make the investment? Based on its internal rate of return, should Park Co make the investment?