Problem 11-5A (Algo) Payback period, break-even time, and net present value LO A1, P1, P3 Salsa Company is considering an investment in technology to improve its operations. The investment costs $242,000 and will yield the following net cash flows. Management requires a 8% return on investments. (PV of $1, EV of $1. PVA of $1, and EVA of $1) Note: Use appropriate factor(s) from the tables provided. Year Net cash Plow $ 48,900) 53,300 75,500 95,500 125,000 Required: 1. Determine the payback period for this investment. 2. Determine the break-even time for this investment. 3. Determine the net present value for this investment. 4. Should management invest in this project based on net present value? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the break-even time for this investment. Note: Enter cash outflows with a minus sign. Round your break-even time answer to 1 decimal place. Year Net Cash Flows Present Value of Present Value of Net 1 at 8% Cash Flows per Year Initial investment $ Year 1 (242,000) 48,900 Cumulative Present Value of Net Cash Flows Year 2 5. 1. Determine the payback period for this investment. 2. Determine the break-even time for this investment. 3. Determine the net present value for this investment. 4. Should management invest in this project based on net present value? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Year Net Cash Flows 1 at 8% Determine the break-even time for this investment. Note: Enter cash outflows with a minus sign. Round your break-even time answer to 1 decimal place. Cumulative Present Value of Net Cash Flows Present Value of Present Value of Net Cash Flows per Year Initial investment $ Year 1 (242,000) 48,900 Year 2 Year 3 Year 4 Year 5 0 0 0 Break-even time = years 1. Determine the payback period for this investment. 2. Determine the break-even time for this investment. 3. Determine the net present value for this investment. 4. Should management invest in this project based on net present value? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the net present value for this investment. Net present value < Required 2 Required 4 >