Problem 24-2A (Algo) Payback period, accounting rate of return, net present value, and net cash flow calculation LO P1, P2, P3

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[The following information applies to the questions displayed below.] Project Y requires a $312,000 investment for new machinery with a four-year life and no salvage value. The project yields the following annual results. Cash flows occur evenly within each year. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.)

Annual Amounts	Project Y
Sales of new product	$ 380,000
Expenses
Materials, labor, and overhead (except depreciation)	170,240
DepreciationMachinery	78,000
Selling, general, and administrative expenses	27,000
Income	$ 104,760

Problem 24-2A (Algo) Part 2

2. Determine Project Ys payback period.