great plains railroad inc is considering acquiring equipment at a cost of 450,000. the equip has an estimated life of 10yrs and no residual value. it is expected to provide yearly net cash flows of 75,000. the companys minimum desired rate of return for net present value anaylsis is 10%

compute the following:

a. the average rate of return giving affect to straight-line depreciation on the investment. round whole percent to one decimal place

b. the cash payback period

c. the net present value. use the present value of an annuity of $1 table. round to the nearest dollar.