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Fall 2015, LA , C J 10, 11 4. Gavin and Alex, baseball consultants, are in need of a microcomputer network for their staff. They

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Fall 2015, LA , C J 10, 11 4. Gavin and Alex, baseball consultants, are in need of a microcomputer network for their staff. They have received three proposals, with related facts as follows: Proposald Proposal A $90,000 Proposal B $90,000 $90,000 90,000 Initial investment in equipment Annual cash increase in operations: Year 1 Year 2 Year 3 Salvage value Estimated life 80,000 10,000 45,000 45,000 45,000 45,000 1 y 3yrs 3 yrs The company uses straight-line depreciation for all capital assets. Required: a. Compute the payback period and accrual accounting rate of return with initial investment, for e proposal

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