Haws Company is considering investing in a new piece of equipment that will cost $200,000 and last for ten years. After purchase, the equipment will generate a net operating income of $30,000 per year and a cash flow of $50,000 per year. What is the payback period? 3 years. 4 years 5 years. 6.7 years. None of the above. Haws Company is considering investing in a new piece of equipment that will cost $200,000 and last for ten years. After purchase, the equipment will generate a net operating income of $30,000 per year and a cash flow of $50,000 per year. What is the simple rate of return? 10% 15% 20%. 25% None of the above. Blinko Products is considering leasing an airplane for use by its sales staff If the airplane is leased, the company would make an immediate deposit of $50,000 to cover any damage during use. The lease would run for five years, at the end of which time the deposit would be refunded. The lease would require an annual payment of $120,000 (the first payment is due at the end of Year 1). At the end of the five year period, the plane would revert back to the manufacturer. Blinko uses a discount rate of 14%. What is the net present value of leasing the airplane? ($411.960) ($436,010) (5461,960) (5386,010) I Under the indirect method of preparing a statement of cash flows, which of the following would be added to net income to determine cash flows from operating activities? Increase in Accounts Payable. Increase in Prepaid Expenses Gain on sale of equipment. All of the above None of the above